WorksheetsChapter 9 International Trade Packet Assessment
Total questions: 19
Worksheet time: 10mins
Name
Class
Date
1.
A process used to describe the growing connection of the world economies is called
a)
international trade
b)
globalization
c)
protectionism
2.
Technological improvements in transportation and communication have made international trade easier now than it ever has been.
a)
True
b)
False
3.
The exchange of money, goods and services between nations is called
a)
international trade
b)
protectionism
c)
globalization
4.
The ability of a country to produce a good at a lower cost than another country is called
a)
absolute advantage
b)
imports
c)
exports
d)
comparative advantage
5.
Goods and services purchased from other countries are called
a)
imports
b)
exports
6.
When a country evaluates the opportunity cost to produce an item and then chooses to produce items that they can make better than other nations, they are said to have a (an)
a)
export
b)
comparative advantage
c)
absolute advantage
7.
Goods produced in one country and sold to another are called
a)
imports
b)
exports
8.
Consumers are able to purchase higher quality products at a lower price due to international trade.
a)
True
b)
False
9.
When countries are involved in international trade, they do not use resources as efficiently as they should.
a)
True
b)
False
10.
What often happens with the profits made from exports? (select 2 correct answers!)
a)
leads to economic slow downs
b)
leads to economic growth
c)
are often reinvested in companies, resulting in the hiring of more workers and the creation of new companies
11.
What do we call it when workers in a home country lose their jobs because the goods they were once producing can now be made in foreign countries?
a)
trade deficit
b)
trade balance
c)
displacement of workers
d)
trade surplus
12.
When a country is exporting more than they are importing, they are said to have a
a)
trade deficit
b)
trade surplus
13.
When a country is importing more than they are exporting, they are said to have a
a)
trade deficit
b)
trade surplus
14.
Another word for a positive trade balance is a trade deficit.
a)
True
b)
False
15.
It is better for a country to have a positive trade balance.
a)
True
b)
False
16.
The WTO (World Trade Organization) was formed in 1995 with the goal of
a)
enforcing free trade agreements
b)
establishing protectionism
c)
increasing tariffs and other trade barriers
17.
Which of the following is NOT a trade barrier?
a)
tariffs
b)
quotas
c)
subsidizing domestic goods
d)
bilateral trade agreements
18.
A multilateral trade agreement is between
a)
many countries
b)
only 2 countries
c)
the US and European countries
19.
An agreement between nations where all countries agree to a set of terms for the exchange of goods and services is called
a)
a trade agreeement
b)
protectionism
c)
a comparative advantage
d)
a trade surplus
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