International Trade Laws & Regulations Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. _____ can often disrupt or make it difficult for domestic firms to compete in various industries.

Question 2 2. When does a treaty become legally binding?

Question 3 3. Which of the following is NOT a way for a country to be successful at international trade?

Question 4 4. Which of the following was NOT a reason for the creation of NAFTA?

Question 5 5. Which one of the following is NOT a sociocultural factor?

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Question 6 6. Identify which of the following is most hurt by strategic trade policy:

Question 7 7. Why is the Customs Border Patrol relevant to a company that wants to export to the U.S.?

Question 8 8. A company that contracts with a foreign company to perform its manufacturing activities is engaged in what type of activity?

Question 9 9. How do tariffs make domestic goods more competitive?

Question 10 10. What happens if a nation doesn't have an absolute advantage in producing anything?

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Question 11 11. What kind of protection is offered by Foreign Sovereign Immunity?

Question 12 12. A country can produce 10 bushels of wheat but will have to give up producing 15 bushels of corn. Assume that the value of a bushel of wheat equals the value of a bushel of corn. What is the opportunity cost for producing 100 bushels of wheat? Should the country produce wheat or corn?

Question 13 13. Why is a tariff imposed?

Question 14 14. What is it called when a domestic firm buys part of a foreign company or partners with a foreign company to create a new business?

Question 15 15. What determines if a country has an absolute advantage in the production of a good?

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Question 16 16. Which of the following BEST describes advantages a company gains by entering a market early and gaining efficiency?

Question 17 17. What is a tariff?

Question 18 18. Why are protectionist strategies used in trade restrictions?

Question 19 19. Which of the following situations is specifically listed in Article II of the U.S. Constitution?

Question 20 20. When the United States and Canada can import and export products across its border with no restrictions, it is called _____.

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Question 21 21. Identify the entity that has NOT significantly benefited by GATT:

Question 22 22. How is a market system different from a command system?

Question 23 23. Which of the following is an example of a tariff?

Question 24 24. Which of the following organizations governs U.S. exports?

Question 25 25. Why would a company engage in franchising?

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Question 26 26. Why might a country engage in trade protectionism?

Question 27 27. Assume that there are only two countries, Country A and Country B, producing only two goods, corn cereal and designer jeans. The table here shows the production possibilities for these two countries. Which of the following statements is correct?

Question 28 28. In the U.S., foreign sovereign immunity is governed by the _____

Question 29 29. How does absolute advantage differ from comparative advantage?

Question 30 30. Which of the following is an example of a trade deficit?

International Trade Laws & Regulations Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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