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Introduction to International Trade 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. Which of the following is FALSE about economic integration?

Question 2 2. When are exchange rates determined by demand and supply forces?

Question 3 3. What is defined as the bringing in of foreign goods into an economy?

Question 4 4. What is specialization?

Question 5 5. Which of these is NOT an argument against economic globalization?

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Question 6 6. Which of the following is the best explanation of sovereignty in international relations?

Question 7 7. Which of the following is an example of importing?

Question 8 8. Country A's opportunity cost of producing 1 ton of corn is 5 tons of wheat, while Country B's opportunity cost of producing 1 ton of corn is 1/3 of a ton of wheat. Which of the following statements is true?

Question 9 9. The Hawley-Smoot Tariff contributed to the worsening of what crisis?

Question 10 10. Why is the World Trade Organization relevant to the global economic system?

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Question 11 11. When countries specialize in the goods in which they have a comparative advantage, which of the following is true?

Question 12 12. What is defined as the economic mixing and interdependence of economies across the world through an escalation of cross-cultural movement of goods, services, technologies and wealth?

Question 13 13. 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 14 14. What is a comparative advantage?

Question 15 15. If the American dollar rose in value in relation to the Japanese Yen, what would likely be the effect?

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Question 16 16. What is an example of economic protectionism?

Question 17 17. Which of the following is a characteristic of a failed state?

Question 18 18. What is a tariff?

Question 19 19. The United States can produce 20 strawberries or 80 apples, while Canada can produce 15 strawberries or 5 apples. Which of the following describes what will happen if these two countries trade with each other?

Question 20 20. What is the BEST explanation of a global market?

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Question 21 21. Which of the following is NOT a benefit of specialization and exchange?

Question 22 22. Which one of the following reasons does NOT support global trade?

Question 23 23. Why might a country engage in trade protectionism?

Question 24 24. How does absolute advantage differ from comparative advantage?

Question 25 25. How might outsiders attempt to interfere with the sovereignty of a sovereign State?

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Question 26 26. Which of the following are problems that all economies face?

Question 27 27. Why is the Customs Border Patrol relevant to a company that wants to export to the U.S.?

Question 28 28. According to the Law of Comparative Advantage, where should a good be produced?

Question 29 29. Which of the following concepts was developed by Adam Smith?

Question 30 30. Exporting is the act of

Introduction to International Trade 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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