Globalization and Its Effects

What is a significant factor in Canada's economic growth and development?

• Domestic agriculture

• Global trade

• Tourism

• Technology innovation

How does international trade contribute to Canada's GDP?

• By increasing domestic consumption

• By reducing import taxes

• By generating income through exports

• By promoting local businesses

What is the balance of trade?

• The total value of a country's exports

• The total value of a country's imports

• The difference between the value of a country's exports and imports

• The sum of a country's exports and imports

What is a trade surplus?

• When a country imports more than it exports

• When a country exports more than it imports

• When a country has equal exports and imports

• When a country has no exports

What is an absolute advantage?

• The ability to produce a good at a lower opportunity cost

• Being the only source of a particular product

• Producing more of a product using more resources

• The ability to produce a good with higher quality

What is outsourcing?

• The practice of contracting work to an external organization or individual

• The process of hiring more employees within the company

• The act of selling company assets to reduce costs

• The strategy of merging with another company

How has outsourcing affected Canadian companies?

• It has increased their expenses and reduced competitiveness

• It has reduced their expenses and increased competitiveness

• It has led to a decrease in market share

• It has resulted in higher employee turnover

What are some negative impacts of outsourcing mentioned in the text?

• Increased innovation and job creation

• Job losses and wage stagnation

• Improved employee satisfaction

• Enhanced environmental sustainability

What are tariffs in the context of trade barriers?

• Taxes on imports

• Limits on the quantity of goods

• Selling goods below market price

• Subsidies for exports

What does CUSMA stand for?

• Canadian-United-States-Mexico Agreement

• Central-United-States-Mexico Agreement

• Canadian-United-States-Mexico Alliance

• Central-United-States-Mexico Alliance