WorksheetsSW Asia Review-Voluntary Trade & OPEC
Total questions: 27
Worksheet time: 19mins
Which of the following describes an embargo?
A ban on trade with a specific nation, usually for political reasons.
A tax placed on imported goods
This is usually meant to pressure the country to stop a specific action.
This causes imported goods to be more expensive so that consumers will buy goods made in their country
A limit on the quantity of an item imported into a country.
Which of the following describes a tariff?
A ban on trade with a specific nation, usually for political reasons.
A tax placed on imported goods
This is usually meant to pressure the country to stop a specific action.
This causes imported goods to be more expensive so that consumers will buy goods made in their country
A limit on the quantity of an item imported into a country.
Which of the following describes a quota?
This causes the costs of goods to rise because their are not as many available.
A limit on the quantity of an item imported into a country.
This is usually meant to pressure the country to stop a specific action.
This helps protect a country's own businesses
A tax placed on imported goods
Which of the following describes specialization?
This occurs when a country focuses its resources on the production of a limited variety of goods and services
A limit on the quantity of an item imported into a country.
This is usually meant to pressure the country to stop a specific action.
This is an efficient way to work and it creates goods that are cheaper
A tax placed on imported goods
What is the name of the organization that was formed in 1960 to regulate the price of oil?
NATO
NAFTA
WTO
OPEC
Only 300,000 barrels of Venezuelan oil are allowed to be imported to Israel each year. This is an example of which type of trade barrier?
Tariff
Quota
Embargo
None of these
The United States taxes solar panels, washing machines and aluminum that is imported to the country. This is an example of which type trade barrier?
Tariff
Quota
Embargo
None of these
The United States prohibits imports and exports to Cuba and North Korea. This is an example of which type trade barrier?
Tariff
Quota
Embargo
None of these
The United Nations placed an embargo on this nation in 1990 after it invaded Kuwait.
Iran
Iraq
Afghanistan
Turkey
What resource does Saudi Arabia specialize in (90% of exports)?
Diamonds
Gold
Oil
Water
A protective tariff is intended to protect the
consumer from higher priced imported goods
consumer from higher priced domestic goods
manufacturer from high priced goods produced within the country
manufacturer or farmer from lower priced good imported to the county
All of these restrict international trade EXCEPT....
quotas
trade deficits
embargoes
quotas
All of the following are considered benefits of free trade except.....
quota reduction or elimination
growth of trade
protective tariff reduction
protection of domestic industries
Which statement BEST reflects the difference between tariffs and quotas?
Tariffs raise prices on imports, while quotas set limits on imports
Tariffs set limits of imports, while quotas raise prices on exports
Tariffs set limits on exports, while quotas raise prices on imports
Tariffs raise price on imports, while quotas set limits on exports
An exchange rate is used to
promote the argument supporting free trade
promote the use of subsidies on foreign goods
determine the price of one country's currency in terms of another country's currency
none of these
The price of one nation's currency in terms of another country's currency is called
fiscal policy
monetary policy
the exchange rate
the discount rate
Which of the following are trade barriers?(select 3)
free trade
quotas
tariffs
trade incentives
subsidies
In economic terms, what is a trade barrier?
a natural or geographic block on trade
anything that restricts the amount of trade
something that encourages free trade
none of these
Base on the definition of specialization and comparative advantage, what area in the world could be said to have a comparative advantage in oil production?
Africa
Middle East/SW Asia
Central America
Europe
Which of these is the BEST example of specialization in the economics of the Middle East?
the operation of OPEC
irrigation on the Nile River
new ports of the Persian Gulf
the dams on the Tigris and Euphrates Rivers
In 193, OPEC refused to allow the United States to buy oil from an OPEC member, this is an example of....
a tariff
a quota
an embargo
none of these
The United Nations imposes an embargo on Iraq, what would be the most likely reason for this?
Iraq needs economic help
Iraq's oil industry needs help
None of these
Iraq is in violation a United Nations rule and it was imposed to punish Iraq
In order to protect its food processing companies from foreign competition, Saudi Arabia imposes a 40% charge on imported food....this is an example of.....
an embargo
quota
subsidy
tariff
A trade barrier is....
a restriction to regulate trade
an incentive to encourage trade
when a country exports more than it imports
when a country imports more than it exports
Turkey imposes a tariff on imports of coffee, this is to
encourage people to buy more Turkish coffee by making imported coffee cost more
encourage people to buy less Turkish coffee by making imported coffee cost less
Countries sometimes set up trade barriers to restrict trade because they want to sell and produce their own goods
True
False
Trade barriers are usually meant to help domestic producers remain competitive with foreign producers and sell more domestic goods and products.
True
False
