Exam 8: Cross-National Cooperation and Agreements

A ________ results when free mobility of factors of production is added to a customs union.

Explain the static effects and dynamic effects of economic integration. What is the difference between trade creation and trade diversion resulting from economic integration?

________ integration is the political and economic agreements among countries that give preference to member countries to the agreement.

Trade creation allows consumers access to more goods at a lower price than would have been possible without integration.

The major trade group in South America involving Brazil,Paraguay,Uruguay,and Argentina is ________.

The European Commission is the European Union's ultimate decision-making body and is composed of the different ministers of the member countries.

The goal of a ________ is to abolish all tariffs among member countries.

Critics of the Lisbon Treaty primarily argue that the legislation will ________.

NGOs must be recognized by the United Nations in order to do humanitarian work in developing countries.

Which of the following are members of NAFTA?

The Single European Act set steps to accomplish monetary union in the European Union,including the creation of the euro.

A free trade agreement is likely to increase efficiency because of ________.

The 27 member EU negotiates trade agreements as one. The EU and Brazil have negotiated a strategic trade alliance which is an example of a ________.

Static effects are the overall growth in the market and the impact on a company caused by expanding production and by the company's ability to achieve greater economies of scale.

NAFTA is an example of a common market.

In a brief essay,explain the roles of the World Trade Organization and the United Nations in international trade.

Identify and briefly compare the major regional trading groups in Latin America,Asia,and Africa.

An example of an effective commodity agreement is ________.

Which of the following statements about the euro is true?

The shifting of trade to countries in a regional group at the expense of trade with countries not in the group is known as trade internalization.