Exam 5: The Global Context of Business

When a country's exchange rate falls, that country's exports become more expensive to other countries.

What is protectionism?

The Canadian government imposed a 34.6 percent tariff on barbecues made in China because complaints were received that Chinese companies were unfairly subsidizing the production of barbecues. This was an example of

The successor to GATT is

The major reasons why Mexico has recently become a major manufacturing centre are

In some countries, it may be legal to bribe businesses and government officials, but this practice is illegal in Canada. This barrier to international trade is known as

With regard to exchange rates, it is correct to say that

What is an expected result when a nation devalues its currency?

Many governments require that products sold in their particular country be at least partly made there. This policy involves ________ laws.

The country that has economically dominated Western Europe is

What is a tariff?

In France, McDonald's restaurants sell wine. This is a classic example of

The most fundamental goal of the WTO is to open world markets to international trade.

If the Canadian dollar becomes weak compared to the Japanese yen, which of the following is likely to occur?

Examples of true absolute advantage are rare.

Strategic alliances have declined somewhat in recent years because foreign governments have put up more and more bureaucratic barriers to foreign ownership.

What countries are covered under NAFTA?

If the Canadian dollar rises, our balance of trade will most likely ________ resulting in a ________ of jobs in the export industry.

What are the advantages of forming a strategic alliance?

Over the past few decades, Canada's overall trade balance has generally been favourable, but only because we export so much more to the United States than we import from the United States.