Exam 20: International Economic Relations

Critics of globalization argue that to prevent job loss we should protect domestic jobs by establishing tariffs on imports.

Erratic fluctuations in exchange rates help trade and reduce risk in transactions.

Trade is the lifeblood of a modern economy.

For many years before World War I, the principal trading countries maintained monetary systems based on:

Invisible items of trade include:

Which of the following is not an advantage of international trade?

In 2007, the U.S. balance of payments was:

The crisis and shortages in the U.S. economy as a result of the Arab oil embargo in the 1970s demonstrated the importance of international trade.

Economists who favor free trade view free trade areas created by associations of countries with:

Note some ways to protect American jobs from being lost to foreign nations. Why do most economists oppose such measures? What do they cite as being the impact on pricing of goods in the American market?

When tariffs are levied as a percentage of a value of a commodity, they are said to be ad hominem.

Recently, the balance of trade deficits has become so large that the U.S. is now:

Global corporations can avoid import quotas.

When countries meet under GATT in order to reduce trade barriers, these meetings are called:

One commodity that is desirable in the United States that we cannot produce ourselves is coffee.

World trade expanded during 1929-1933.

Most economists would argue that free trade should be pursued insofar as jobs can be protected from outsourcing.

In 1947, most Western nations agreed to a mutual effort to reduce trade barriers through the:

What is the meaning of foreign exchange? What is the difference between a fixed and a flexible exchange rate system? How does the current exchange rate system of the United States work?

What are the arguments in favor of free trade? What global efforts have been made to remove trade restrictions? How do free trade areas impact free trade?