Exam 5: International The Global Marketplace

What three companies were the initial signers of the North American Free Trade Agreement?

The opposite of free trade is nationalism.

An argument in favour of protective tariffs is the "infant-industry argument." Which of the following statements would best reflect that argument?

There are certain types of wood that are available only from trees grown in the Brazilian rain forest.What kind of advantage does this give Brazil over all other nations who might want to import these exotic woods?

A natural barrier that faces Argentina when it sells beef to Siberia is which of the following?

Which of the following best describes protectionism?

The Sara Lee Company sells the Hanes brand of hosiery in North America.The manufacturer of this hosiery brand in Great Britain sells it under the brand name of Pretty Polly.The Sara Lee Company is using which of the following activities to broaden its global marketing base without investing in overseas plants and equipment?

Nations sometimes form free-trade associations and establish areas where there are few,if any,export and import duties or other regulations that would act as barriers to trade among partners.Which of the following best describes the result of this behaviour?

Japanese automobile manufacturer Mazda began production of the Premacy SUV in Haikou,China,at a plant it built in the Chinese province and expected to make 20,000 autos in 3 years.Mazda is using which action to engage in global trading?

The tax that Canada imposes on imported carbon steel products is called a tariff.

Which of the following represents the world's largest free-trade zone?

What do you call companies that move resources,goods,services,and skills across national boundaries without regard to the country in which their headquarters are located?

A country that imports more goods than it exports is said to exhibit which of the following?

According to the principle of comparative advantage,each country should specialize in the products that it can produce most readily and cheaply and trade those products for products that foreign countries can produce most readily and cheaply.

The difference between a country's total payments to other countries and its total receipts from other countries is represented by which of the following?

The exchange rate is the interest rate that foreign banks receive when borrowing money from Canada.

Which of the following are goods and services that are made in one country and sold to other countries?

Which of the following represents the total amount of money that flows into and out of a country?

Capital Radio PLC,the United Kingdom's biggest commercial radio company announced in 2002 that it would cooperate with Walt Disney Co.to create a radio network for children under the age of 16.The company will broadcast to a potential audience of 25 million under the name Capital Disney.This new radio network will be created as the result of which of the following arrangements?

Mines in South Africa produce diamonds and sell them to retailers in the United States.To South African miners,diamonds are an export.