Question 1

An open international economy is a collective good.

Accepted Answer

A) True 
 B)False

Question 2

A good that everyone benefits from and from which no one can be excluded is a(n) _________

Accepted Answer

A)  exported good 
B)  free rider 
C)  collective or public good 
D)  commercial good 
E)  benefit 
A)  exported good 
B)  free rider 
C)  collective or public good 
D)  commercial good 
E)  benefit

Question 3

Adherents to commercial liberalism agree that everyone benefits from unfettered free trade.

Accepted Answer

A) True 
 B)False

Question 4

What was the name of the meeting that changed the GATT to WTO?

Accepted Answer

A)  The Brazil Round 
B)  The Uruguay Round 
C)  Paris Talks 
D)  The Vienna Conference 
E)  The Tokyo Accords 
A)  The Brazil Round 
B)  The Uruguay Round 
C)  Paris Talks 
D)  The Vienna Conference 
E)  The Tokyo Accords

Question 5

When taxes are placed on another exporting state's alleged selling of a product at a price below the cost to produce it, this is called ____________.

Accepted Answer

A)  strategic trade policy 
B)  voluntary export restrictions 
C)  orderly market arrangements 
D)  antidumping duties 
E)  All of the above are true. 
A)  strategic trade policy 
B)  voluntary export restrictions 
C)  orderly market arrangements 
D)  antidumping duties 
E)  All of the above are true.

Question 6

Punitive economic actions, such as the cessation of trade or financial ties, by one state in retaliation for objectionable behavior are called ____________________.

Accepted Answer

The answer of Punitive economic actions, such as the cessation...

Question 7

List three tools of protectionism utilized by states.

Accepted Answer

Tools of protectionism are:
 Quotas
- Ta

Question 8

There is a direct correlation between economic freedom and prosperity; the more economically free a country the more prosperous it tends to be and vice versa.

Accepted Answer

A) True 
 B)False

Question 9

Hegemons are initially intolerant of nations called free riders, because they immediately take advantage of free trade before they eventually begin to repay the hegemon.

Accepted Answer

A) True 
 B)False

Question 10

Non-tariff barriers to trade that may be hidden in government policies not directly related to trade such as environmental initiatives and government spending are known as __________________________.

Accepted Answer

The answer of Non-tariff barriers to trade that may be...

Question 11

Economic sanctions have been used with increasing frequency since World War II. Research has shown sanctions

Accepted Answer

A)  are seldom effective in impairing the military potential of its targets. 
B)  actually slow down the threat of military actions between two countries. 
C)  are deliberate actions against a target country to deprive it of the benefits of continuing economic relations. 
D)  are successful against autocratic leaders, such as Fidel Castro of Cuba. 
E)  Both A and C are true. 
A)  are seldom effective in impairing the military potential of its targets. 
B)  actually slow down the threat of military actions between two countries. 
C)  are deliberate actions against a target country to deprive it of the benefits of continuing economic relations. 
D)  are successful against autocratic leaders, such as Fidel Castro of Cuba. 
E)  Both A and C are true.

Question 12

_________________________ are a protectionist measure in which exporting countries agree to restrict shipments of a particular product to a country to deter it from imposing an even more onerous import quota.

Accepted Answer

Voluntary

Question 13

The primary goal of the GATT was to open or liberalize world trade using the principles of reciprocity, nondiscrimination, and transparency.

Accepted Answer

A) True 
 B)False

Question 14

What are the barriers to free trade agreed to by two trading states to protect their domestic producers called?

Accepted Answer

The answer of What are the barriers to free trade...

Question 15

According to the most-favored-nation (MFN) principle,

Accepted Answer

A)  states cannot rely on comparative advantage in their trade policies. 
B)  goods produced at home are treated the same for import and export agreements. 
C)  tariff preferences granted to one state must be granted to all others exporting the same product. 
D)  import quotas can be used to regulate trade, but export quotas cannot be used. 
E)  certain important trading partners should be given favors status. 
A)  states cannot rely on comparative advantage in their trade policies. 
B)  goods produced at home are treated the same for import and export agreements. 
C)  tariff preferences granted to one state must be granted to all others exporting the same product. 
D)  import quotas can be used to regulate trade, but export quotas cannot be used. 
E)  certain important trading partners should be given favors status.

Question 16

Mercantilists differ from liberalists in that

Accepted Answer

A)  mercantilists do not see wealth and economic growth as ends in themselves. 
B)  liberalists treat all specializations as equal in value; mercantilists do not. 
C)  mercantilists view the state as having an active and vital role in their economies; liberalists do not. 
D)  mercantilists believe relative gains are more important than absolute gains for both parties. 
E)  all of the above are true. 
A)  mercantilists do not see wealth and economic growth as ends in themselves. 
B)  liberalists treat all specializations as equal in value; mercantilists do not. 
C)  mercantilists view the state as having an active and vital role in their economies; liberalists do not. 
D)  mercantilists believe relative gains are more important than absolute gains for both parties. 
E)  all of the above are true.

Question 17

Countervailing duties and antidumping duties are examples of what type of protectionist policy?

Accepted Answer

Strategic

Question 18

An infant industry is one that

Accepted Answer

A)  is not yet strong enough to compete effectively in the global market place. 
B)  is new to the practice of voluntary export restraints. 
C)  is accused of "dumping" products below the cost of production. 
D)  recently began selling exports. 
E)  utilizes child labor. 
A)  is not yet strong enough to compete effectively in the global market place. 
B)  is new to the practice of voluntary export restraints. 
C)  is accused of "dumping" products below the cost of production. 
D)  recently began selling exports. 
E)  utilizes child labor.

Question 19

World trade fell by 9 percent in 2008 precipitated by which of the following conditions?

Accepted Answer

A)  Decline of consumer demand 
B)  Global supply chains meant that trade reductions were felt in multiple countries. 
C)  The collapse in credit markets dried up available financing. 
D)  Both A and C above are true. 
E)  All of the above are true. 
A)  Decline of consumer demand 
B)  Global supply chains meant that trade reductions were felt in multiple countries. 
C)  The collapse in credit markets dried up available financing. 
D)  Both A and C above are true. 
E)  All of the above are true.

Question 20

The transnationalization of the productive process in which finished goods rely on inputs from multiple countries outside their final market is known as __________ .

Accepted Answer

A)  intra-firm trade 
B)  globalization of production 
C)  trade integration 
D)  globalization of finance 
E)  global trade 
A)  intra-firm trade 
B)  globalization of production 
C)  trade integration 
D)  globalization of finance 
E)  global trade

An open international economy is a collective good.

A good that everyone benefits from and from which no one can be excluded is a(n) _________

Adherents to commercial liberalism agree that everyone benefits from unfettered free trade.

What was the name of the meeting that changed the GATT to WTO?

When taxes are placed on another exporting state's alleged selling of a product at a price below the cost to produce it, this is called ____________.

Punitive economic actions, such as the cessation of trade or financial ties, by one state in retaliation for objectionable behavior are called ____________________.

List three tools of protectionism utilized by states.

There is a direct correlation between economic freedom and prosperity; the more economically free a country the more prosperous it tends to be and vice versa.

Hegemons are initially intolerant of nations called free riders, because they immediately take advantage of free trade before they eventually begin to repay the hegemon.

Non-tariff barriers to trade that may be hidden in government policies not directly related to trade such as environmental initiatives and government spending are known as __________________________.

Economic sanctions have been used with increasing frequency since World War II. Research has shown sanctions

_________________________ are a protectionist measure in which exporting countries agree to restrict shipments of a particular product to a country to deter it from imposing an even more onerous import quota.

The primary goal of the GATT was to open or liberalize world trade using the principles of reciprocity, nondiscrimination, and transparency.

What are the barriers to free trade agreed to by two trading states to protect their domestic producers called?

According to the most-favored-nation (MFN) principle,

Mercantilists differ from liberalists in that

Countervailing duties and antidumping duties are examples of what type of protectionist policy?

An infant industry is one that

World trade fell by 9 percent in 2008 precipitated by which of the following conditions?

The transnationalization of the productive process in which finished goods rely on inputs from multiple countries outside their final market is known as __________ .

Exploring World Politics

Theories of World Politics

Theories of International Decision Making

Rivalries and Relations Among the Great Powers

The Global South in a World of Powers

Nonstate Actors and the Quest for Global

The Threat of Armed Conflict to the World

The Pursuit of Power Through Arms and Alliances

The Quest for Peace Through International Law and Collective Security

The Globalization of International Finance

The Demographic and Cultural Dimensions of Globalization

The Promotion of Human Development and Human Rights

Global Responsibility for the Preservation of the Environment

Looking Ahead at Global Trends

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Exam 11: International Trade in the Global Marketplace

An open international economy is a collective good.

A good that everyone benefits from and from which no one can be excluded is a(n) _________

Adherents to commercial liberalism agree that everyone benefits from unfettered free trade.

What was the name of the meeting that changed the GATT to WTO?

When taxes are placed on another exporting state's alleged selling of a product at a price below the cost to produce it, this is called ____________.

Punitive economic actions, such as the cessation of trade or financial ties, by one state in retaliation for objectionable behavior are called ____________________.

List three tools of protectionism utilized by states.

There is a direct correlation between economic freedom and prosperity; the more economically free a country the more prosperous it tends to be and vice versa.

Hegemons are initially intolerant of nations called free riders, because they immediately take advantage of free trade before they eventually begin to repay the hegemon.

Non-tariff barriers to trade that may be hidden in government policies not directly related to trade such as environmental initiatives and government spending are known as __________________________.

Economic sanctions have been used with increasing frequency since World War II. Research has shown sanctions

_________________________ are a protectionist measure in which exporting countries agree to restrict shipments of a particular product to a country to deter it from imposing an even more onerous import quota.

The primary goal of the GATT was to open or liberalize world trade using the principles of reciprocity, nondiscrimination, and transparency.

What are the barriers to free trade agreed to by two trading states to protect their domestic producers called?

According to the most-favored-nation (MFN) principle,

Mercantilists differ from liberalists in that

Countervailing duties and antidumping duties are examples of what type of protectionist policy?

An infant industry is one that

World trade fell by 9 percent in 2008 precipitated by which of the following conditions?

The transnationalization of the productive process in which finished goods rely on inputs from multiple countries outside their final market is known as __________ .

Exploring World Politics

Theories of World Politics

Theories of International Decision Making

Rivalries and Relations Among the Great Powers

The Global South in a World of Powers

Nonstate Actors and the Quest for Global

The Threat of Armed Conflict to the World

The Pursuit of Power Through Arms and Alliances

The Quest for Peace Through International Law and Collective Security

The Globalization of International Finance

The Demographic and Cultural Dimensions of Globalization

The Promotion of Human Development and Human Rights

Global Responsibility for the Preservation of the Environment

Looking Ahead at Global Trends

Filters