Question 1

Why would transparency affect trade cooperation?

Accepted Answer

A) A country would be more reluctant to enter into a free-trade agreement if it has little information about another country's subsidies to domestic producers. 
B) Two countries with too much information about each other's tax policies would find it difficult to negotiate a free-trade agreement. 
C) Countries that negotiate simpler trade agreements are more likely to suspect the other side of cheating. 
D) Countries try to conceal information about their domestic policies to improve the likelihood of negotiating an effective free-trade agreement. 
A) A country would be more reluctant to enter into a free-trade agreement if it has little information about another country's subsidies to domestic producers. 
B) Two countries with too much information about each other's tax policies would find it difficult to negotiate a free-trade agreement. 
C) Countries that negotiate simpler trade agreements are more likely to suspect the other side of cheating. 
D) Countries try to conceal information about their domestic policies to improve the likelihood of negotiating an effective free-trade agreement.

Question 2

How do international institutions affect whether the world trading system is more or less open?

Accepted Answer

Answers will vary.  International organi

Question 3

How do compensation programs create a Pareto improvement in trade policy? Why might they create more support for trade?

Accepted Answer

Answers will vary.Students should define

Question 4

What is the effect of trade barriers?

Accepted Answer

A) Imports become less expensive for domestic producers. 
B) A glut of imported products develops. 
C) Domestic producers of a protected good can sell their product at a higher price. 
D) Domestic producers of a protected good have to lower the wages paid to their workers. 
A) Imports become less expensive for domestic producers. 
B) A glut of imported products develops. 
C) Domestic producers of a protected good can sell their product at a higher price. 
D) Domestic producers of a protected good have to lower the wages paid to their workers.

Question 5

Which of these is most likely a poor,developing country?

Accepted Answer

A) A country that exports aircraft 
B) A country that exports copper 
C) A country that exports computer chips 
D) A country that exports automobiles and trucks 
A) A country that exports aircraft 
B) A country that exports copper 
C) A country that exports computer chips 
D) A country that exports automobiles and trucks

Question 6

Developing countries have been surprisingly receptive to free trade since the 1980s.According to scholars,this is likely because of which other development?

Accepted Answer

A) More developing countries became democratic rather than authoritarian. 
B) The United Nations mandated free trade among developing countries. 
C) Developing nations began doing more trade with each other. 
D) Offshoring of jobs from developed nations encouraged developing countries to embrace free trade. 
A) More developing countries became democratic rather than authoritarian. 
B) The United Nations mandated free trade among developing countries. 
C) Developing nations began doing more trade with each other. 
D) Offshoring of jobs from developed nations encouraged developing countries to embrace free trade.

Question 7

The creation of the European Common Market and the subsequent growth of the customs union in Europe is best an example of the importance of ________ in international trade.

Accepted Answer

A) interests 
B) institutions 
C) ideas 
D) interactions 
A) interests 
B) institutions 
C) ideas 
D) interactions

Question 8

How do domestic political institutions affect whether a country will adopt trade liberalization or protectionism?

Accepted Answer

Answers will vary. Just as narrowly base

Question 9

Which is true of Portugal in the table?

Accepted Answer

A) Portugal has an absolute advantage over England in both cloth and wine. 
B) England's opportunity cost for producing wine is lower than Portugal's. 
C) Portugal can produce more wine than England. 
D) Neither country has a comparative advantage in the production of cloth. 
A) Portugal has an absolute advantage over England in both cloth and wine. 
B) England's opportunity cost for producing wine is lower than Portugal's. 
C) Portugal can produce more wine than England. 
D) Neither country has a comparative advantage in the production of cloth.

Question 10

What is protectionism?

Accepted Answer

A) The creation of alliances to ward off threats to a country 
B) Excessive worry about attacks from other countries 
C) The use of conscious measures to shield domestic producers from imports 
D) The use of free trade to improve the efficiency of domestic producers 
A) The creation of alliances to ward off threats to a country 
B) Excessive worry about attacks from other countries 
C) The use of conscious measures to shield domestic producers from imports 
D) The use of free trade to improve the efficiency of domestic producers

Question 11

Why is "intra-industry" trade difficult for the Heckscher-Ohlin trade theory to explain?

Accepted Answer

A) Most of it is conducted between developing countries,which the theory predicts little of. 
B) Since the products are within the same industry and made with the same factors,differences in factor endowment cannot explain it. 
C) Countries with abundant labor are not expected to also import labor-intensive products. 
D) Industries are expected to compete with each and not trade with each when factors are immobile. 
A) Most of it is conducted between developing countries,which the theory predicts little of. 
B) Since the products are within the same industry and made with the same factors,differences in factor endowment cannot explain it. 
C) Countries with abundant labor are not expected to also import labor-intensive products. 
D) Industries are expected to compete with each and not trade with each when factors are immobile.

Question 12

Explain how domestic political interests,institutions,and interactions affect the likelihood of trade liberalization or trade restriction.

Accepted Answer

Answers will vary.Students should note t

Question 13

The table is an example of:

Accepted Answer

A) negative externality. 
B) comparative advantage. 
C) the Prisoner's Dilemma. 
D) the Stag Hunt. 
A) negative externality. 
B) comparative advantage. 
C) the Prisoner's Dilemma. 
D) the Stag Hunt.

Question 14

Antiglobalization critics criticize the WTO because they think it:

Accepted Answer

A) favors domestic workers over other actors. 
B) disregards environmental and safety issues. 
C) is overly concerned about workers' health and safety. 
D) is not doing enough to reduce government subsidies for domestic producers in developing countries. 
A) favors domestic workers over other actors. 
B) disregards environmental and safety issues. 
C) is overly concerned about workers' health and safety. 
D) is not doing enough to reduce government subsidies for domestic producers in developing countries.

Question 15

Which type of actor does the newer alternative to the Stolper-Samuelson and Ricardo-Viner theorems focus on?

Accepted Answer

A) Large firms 
B) Family farms 
C) Skilled labor 
D) Export industries 
A) Large firms 
B) Family farms 
C) Skilled labor 
D) Export industries

Why would transparency affect trade cooperation?

How do international institutions affect whether the world trading system is more or less open?

How do compensation programs create a Pareto improvement in trade policy? Why might they create more support for trade?

What is the effect of trade barriers?

Which of these is most likely a poor,developing country?

Developing countries have been surprisingly receptive to free trade since the 1980s.According to scholars,this is likely because of which other development?

The creation of the European Common Market and the subsequent growth of the customs union in Europe is best an example of the importance of ________ in international trade.

How do domestic political institutions affect whether a country will adopt trade liberalization or protectionism?

Which is true of Portugal in the table?

What is protectionism?

Why is "intra-industry" trade difficult for the Heckscher-Ohlin trade theory to explain?

Explain how domestic political interests,institutions,and interactions affect the likelihood of trade liberalization or trade restriction.

The table is an example of:

Antiglobalization critics criticize the WTO because they think it:

Which type of actor does the newer alternative to the Stolper-Samuelson and Ricardo-Viner theorems focus on?

What Shaped Our World

Understanding Interests, interactions, and Institutions

Why Are There Wars

Domestic Politics and War

International Institutions and War

Violence by Nonstate Actors: Civil War and Terrorism

International Financial Relations

International Monetary Relations

Development: Causes of the Wealth and Poverty of Nations

International Law and Norms

Human Rights

The Global Environment

The Future of International Politics

Introduction

Foundations, War, and Peace

International Political Economy, Transnational Politics, and Looking Ahead

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Exam 7: International Trade

Why would transparency affect trade cooperation?

How do international institutions affect whether the world trading system is more or less open?

How do compensation programs create a Pareto improvement in trade policy? Why might they create more support for trade?

What is the effect of trade barriers?

Which of these is most likely a poor,developing country?

Developing countries have been surprisingly receptive to free trade since the 1980s.According to scholars,this is likely because of which other development?

The creation of the European Common Market and the subsequent growth of the customs union in Europe is best an example of the importance of ________ in international trade.

How do domestic political institutions affect whether a country will adopt trade liberalization or protectionism?

Which is true of Portugal in the table?

What is protectionism?

Why is "intra-industry" trade difficult for the Heckscher-Ohlin trade theory to explain?

Explain how domestic political interests,institutions,and interactions affect the likelihood of trade liberalization or trade restriction.

The table is an example of:

Antiglobalization critics criticize the WTO because they think it:

Which type of actor does the newer alternative to the Stolper-Samuelson and Ricardo-Viner theorems focus on?

What Shaped Our World

Understanding Interests, interactions, and Institutions

Why Are There Wars

Domestic Politics and War

International Institutions and War

Violence by Nonstate Actors: Civil War and Terrorism

International Financial Relations

International Monetary Relations

Development: Causes of the Wealth and Poverty of Nations

International Law and Norms

Human Rights

The Global Environment

The Future of International Politics

Introduction

Foundations, War, and Peace

International Political Economy, Transnational Politics, and Looking Ahead

Filters