Exam 7: Government Intervention and Regional Economic Integration

A quantitative restriction on specific imports for a set period of time is referred to as ________.

Governments impose export controls for the purpose of ________.

Blocking imports ________.

Which of the following is true with regard to protectionism?

In a short essay, describe the negative effects to the economy when a government intervenes in international trade.

Which of the following was the first major effort to systematically reduce trade barriers worldwide?

Which of the following would be most important for NAC managers to consider while taking a decision in favor of building a facility in Mexico or India?

The GATT created a forum for resolving trade disputes.

Tariffs that are ad valorem are ________.

Explain how quotas work as an instrument of government intervention. What are voluntary export restraints? How can firms use foreign trade zones as a strategy to manage government intervention?

The United Nations estimated that trade barriers alone cost developing countries ________ in lost trading opportunities with developed countries every year.

Which of the following questions would be most important for government officials to evaluate when considering the controversy over the cotton quota?

One approach for reducing exposure to trade barriers is to have exported products classified in the appropriate harmonized product code.

Singapore and South Korea used export-led development to achieve high growth from the 1970s onward.

A countervailing duty slows the import of products or services and hinders the investment activities of firms.

A government policy that impedes trade through means other than explicit tariffs is known as a(n)________.

If high tariffs are present, managers may consider other strategies, such as FDI, licensing, and joint ventures that allow the firm to operate directly in the target market, avoiding import barriers.

Firms use foreign trade zones to ________.

Which of the following is a method used by some manufacturers to avoid paying high tariffs?

Import tariffs are a principle instrument of trade intervention. In a short essay, briefly describe the five main types of import tariffs.