Exam 2: The Dynamic Environment of International Trade

A specific unit or dollar limit applied to a particular type of good is called a(n):

A nation's balance-of-payments statement records all financial transactions between its residents and those of the rest of the world during a given period of time.

A VER is generally imposed under the threat of stiffer quotas and tariffs being set by the importing country if a VER is not established.

Which of the following factors was responsible for the excess production capacity in the U.S. in the first half of the twentieth century?

Which of the following agreements permits challenging the restrictions in Indonesia that prohibit foreign firms from opening their own wholesale or retail distribution?

The World Bank was formed to overcome inadequate monetary reserves and unstable currencies which were particularly vexing problems in global trade.

The reserves account is a record of direct investment, portfolio investment, and short-term capital movements to and from countries.

When the United States refuses to sell goods to Iran because of the perception that the country harbors radicals and terrorists, the refusal is called a(n):

Exporting countries sometimes agree to voluntary export restraints (VER) as an alternative to the threat of:

Among the many proposals brought forward for lowering the trade deficit, most deal with fairness of trade with some of our trading partners instead of reducing imports or adjusting other trade policies.

Briefly describe the American efforts toward global trade and its impact.

The ratification of the WTO by the United States was challenged in the U.S. Congress for all of the following reasons EXCEPT:

The marketing manager for Healthy Horse Products wants to export to Australia but learns the labeling requirements are quite difficult to comply with limiting imports. This is a type of:

Protection of an infant industry is recognized by economists as a valid argument in favor of protectionism.

A nation's balance-of-payments statement records all financial transactions between:

What is the significance of balance of payments figures?

Which of the following ensures that balance-of-payments records are always in balance?

After World War II, the United States led efforts like the Marshall Plan to assist in rebuilding Europe, financial and industrial development assistance to rebuild Japan, and funds channeled to foster economic growth in the underdeveloped world, while helping to create a world economy were aimed toward:

What was the reciprocal impact of the foreign economic assistance given by the United States?

Which was the most notable achievement of the Uruguay Round of GATT negotiations?