Intro to Bus. 2.3, 3.1, 3.2 Quiz Review

International business refers to the business activities needed to perform all of the following for goods and services EXCEPT

• Creating

• Shipping

• Selling

• Donating

The United States has many natural resources, a skilled labor force, and modern production facilities.

• True

• False

When a country can produce a good or service at a lower cost from other countries it is called what?

• Flexible Advantage

• Absolute Advantage

• Relative Advantage

• Partial Advantage

Comparative advantage is a situation in which a country specializes in the production of a good/service at which it is relatively more efficient.

• True

• False

The balance of payments is the difference between the amount of money that comes into a country and the amount that goes out of it.

• True

• False

What is a positive balance of payments?

• Taking more money in than paying

• Taking in an equal amount as what you’re losing

• Taking in less than what you’re paying

• When a government does not do international trade

Tariffs and Quotas are examples of trade barriers.

• True

• False

You continually make decisions about the use of your time, money, and energy.

• True

• False

_________ refers to a nation's transportation, communication, and utility systems.

All countries have a great deal of freedom in their business activities.

• True

• False