Question 1

An increase in the dollar price of a foreign currency usually:

Accepted Answer

A) benefit U.S.importers 
B) benefits U.S.exporters 
C) benefit both U.S.importers and U.S.exporters 
D) harms both U.S.importers and U.S.exporters 
A) benefit U.S.importers 
B) benefits U.S.exporters 
C) benefit both U.S.importers and U.S.exporters 
D) harms both U.S.importers and U.S.exporters B

Question 2

International trade is most important to the standard of living of:

Accepted Answer

A) the United States 
B) Switzerland 
C) Germany 
D) England 
A) the United States 
B) Switzerland 
C) Germany 
D) England B

Question 3

In the study of international economics:

Accepted Answer

A) international trade policies are examined before the bases for trade 
B) adjustment policies are discussed before the balance of payments 
C) the case of many nations is discussed before the two-nations case 
D) none of the above 
A) international trade policies are examined before the bases for trade 
B) adjustment policies are discussed before the balance of payments 
C) the case of many nations is discussed before the two-nations case 
D) none of the above D

Question 4

International trade theory refers to:

Accepted Answer

A) the microeconomic aspects of international trade 
B) the macroeconomic aspects of international trade 
C) open economy macroeconomics or international finance 
D) all of the above 
A) the microeconomic aspects of international trade 
B) the macroeconomic aspects of international trade 
C) open economy macroeconomics or international finance 
D) all of the above

Question 5

The opening or expansion of international trade usually affects all members of society:

Accepted Answer

A) positively 
B) negatively 
C) most positively but some negatively 
D) most negatively but some positively 
A) positively 
B) negatively 
C) most positively but some negatively 
D) most negatively but some positively

Question 6

Which of the following is not the subject matter of international finance?

Accepted Answer

A) foreign exchange markets 
B) the balance of payments 
C) the basis and the gains from trade 
D) policies to adjust balance of payments disequilibria 
A) foreign exchange markets 
B) the balance of payments 
C) the basis and the gains from trade 
D) policies to adjust balance of payments disequilibria

Question 7

The gravity model of international trade predicts that trade between two nations is larger

Accepted Answer

A) the larger the two nations 
B) the closer the nations 
C) the more open are the two nations 
D) all of the above 
A) the larger the two nations 
B) the closer the nations 
C) the more open are the two nations 
D) all of the above

Question 8

Which of the following is not an assumption generally made in the study of international economics?

Accepted Answer

A) two nations 
B) two commodities 
C) perfect international mobility of factors 
D) two factors of production 
A) two nations 
B) two commodities 
C) perfect international mobility of factors 
D) two factors of production

Question 9

International economics deals with:

Accepted Answer

A) the flow of goods,services,and payments among nations 
B) policies directed at regulating the flow of goods,services,and payments 
C) the effects of policies on the welfare of the nation 
D) all of the above 
A) the flow of goods,services,and payments among nations 
B) policies directed at regulating the flow of goods,services,and payments 
C) the effects of policies on the welfare of the nation 
D) all of the above

Question 10

Which of the following statements with regard to international economics is true?

Accepted Answer

A) It is a relatively new field 
B) it is a relatively old field 
C) most of its contributors were not economists 
D) none of the above 
A) It is a relatively new field 
B) it is a relatively old field 
C) most of its contributors were not economists 
D) none of the above

Question 11

Over time,the economic interdependence of nations has:

Accepted Answer

A) grown 
B) diminished 
C) remained unchanged 
D) cannot say 
A) grown 
B) diminished 
C) remained unchanged 
D) cannot say

Question 12

Economic theory:

Accepted Answer

A) seeks to explain economic events 
B) seeks to predict economic events 
C) abstracts from the many detail that surrounds an economic event 
D) all of the above 
A) seeks to explain economic events 
B) seeks to predict economic events 
C) abstracts from the many detail that surrounds an economic event 
D) all of the above

Question 13

Which of the following products are not produced at all in the United States?

Accepted Answer

A) Coffee,tea,cocoa 
B) steel,copper,aluminum 
C) petroleum,coal,natural gas 
D) typewriters,computers,airplanes 
A) Coffee,tea,cocoa 
B) steel,copper,aluminum 
C) petroleum,coal,natural gas 
D) typewriters,computers,airplanes

Question 14

A rough measure of the degree of economic interdependence of a nation is given by:

Accepted Answer

A) the size of the nations' population 
B) the percentage of its population to its GDP 
C) the percentage of a nation's imports and exports to its GDP 
D) all of the above 
A) the size of the nations' population 
B) the percentage of its population to its GDP 
C) the percentage of a nation's imports and exports to its GDP 
D) all of the above

Question 15

International trade is similar to interregional trade in that both must overcome:

Accepted Answer

A) distance and space 
B) trade restrictions 
C) differences in currencies 
D) differences in monetary systems 
A) distance and space 
B) trade restrictions 
C) differences in currencies 
D) differences in monetary systems

Question 16

Economic interdependence is greater for:

Accepted Answer

A) small nations 
B) large nations 
C) developed nations 
D) developing nations 
A) small nations 
B) large nations 
C) developed nations 
D) developing nations

An increase in the dollar price of a foreign currency usually:

International trade is most important to the standard of living of:

In the study of international economics:

International trade theory refers to:

The opening or expansion of international trade usually affects all members of society:

Which of the following is not the subject matter of international finance?

The gravity model of international trade predicts that trade between two nations is larger

Which of the following is not an assumption generally made in the study of international economics?

International economics deals with:

Which of the following statements with regard to international economics is true?

Over time,the economic interdependence of nations has:

Economic theory:

Which of the following products are not produced at all in the United States?

A rough measure of the degree of economic interdependence of a nation is given by:

International trade is similar to interregional trade in that both must overcome:

Economic interdependence is greater for:

The Law of Comparative Advantage

The Standard Theory of International Trade

Demand and Supply, Offer Curves, and the Terms of Trade

Factor Endowments and the Heckscherohlin Theory

Economies of Scale, Imperfect Competition, and International Trade

Economic Growth and International Trade

Trade Restrictions: Tariffs

Nontariff Trade Barriers and the New Protectionism

Economic Integration: Customs Unions and Free Trade Areas

International Trade and Economic Development

International Resource Movements and Multinational Corporations

Balance of Payments

Foreign Exchange Markets and Exchange Rates

Exchange Rate Determination

The Price Adjustment Mechanism With Flexible and Fixed Exchange Rates

The Income Adjustment Mechanism and Synthesis of Automatic Adjustments

Open-Economy Macroeconomics: Adjustment Policies

Prices and Output in an Open Economy: Aggregate Demand and Aggregate Supply

Flexible Versus Fixed Exchange Rates, the European Monetary System, and Macroeconomic Policy Coordination

The International Monetary System: Past, Present, and Future

Filters

Exam 1: Introduction

An increase in the dollar price of a foreign currency usually:

International trade is most important to the standard of living of:

In the study of international economics:

International trade theory refers to:

The opening or expansion of international trade usually affects all members of society:

Which of the following is not the subject matter of international finance?

The gravity model of international trade predicts that trade between two nations is larger

Which of the following is not an assumption generally made in the study of international economics?

International economics deals with:

Which of the following statements with regard to international economics is true?

Over time,the economic interdependence of nations has:

Economic theory:

Which of the following products are not produced at all in the United States?

A rough measure of the degree of economic interdependence of a nation is given by:

International trade is similar to interregional trade in that both must overcome:

Economic interdependence is greater for:

The Law of Comparative Advantage

The Standard Theory of International Trade

Demand and Supply, Offer Curves, and the Terms of Trade

Factor Endowments and the Heckscherohlin Theory

Economies of Scale, Imperfect Competition, and International Trade

Economic Growth and International Trade

Trade Restrictions: Tariffs

Nontariff Trade Barriers and the New Protectionism

Economic Integration: Customs Unions and Free Trade Areas

International Trade and Economic Development

International Resource Movements and Multinational Corporations

Balance of Payments

Foreign Exchange Markets and Exchange Rates

Exchange Rate Determination

The Price Adjustment Mechanism With Flexible and Fixed Exchange Rates

The Income Adjustment Mechanism and Synthesis of Automatic Adjustments

Open-Economy Macroeconomics: Adjustment Policies

Prices and Output in an Open Economy: Aggregate Demand and Aggregate Supply

Flexible Versus Fixed Exchange Rates, the European Monetary System, and Macroeconomic Policy Coordination

The International Monetary System: Past, Present, and Future

Filters