Exam 2: The Dynamic Environment of International Trade

Which of the following is an adverse consequence of globalization?

Which of the following falls on the minus side of the U.S. balance of payments?

List the major agreements reached during the Uruguay Round of GATT negotiations. Which was the most notable achievement of the Uruguay Round?

Which of the following is an example of a nontariff trade barrier?

Which of the following statements is true about the status of protests against global financial institutions?

As both special drawing rights (SDRs) and the U.S. dollar have lost their utility as the basic medium of financial exchange, most monetary statistics relate to gold rather than dollars.

What was the outcome for the GATT after the ratification of the Uruguay Round agreements?

Developed by the International Monetary Fund to cope with universally floating exchange rates, _____ represent an average base of value derived from the value of a group of major currencies.

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

In general, tariffs weaken:

Which of the following factors was primarily responsible for the excess in production capacity in the United States after World War II?

Which of the following is one of the four ongoing activities supporting the growth of international trade?

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

Which of the following trading partners of the United States became its number one "trade problem" at the beginning of the 21^st century?

A balance-of-payments statement includes three accounts. Two of those accounts are the current account and the capital account. What is the third account found on the balance-of-payments statement?

One of the basic elements of the General Agreement on Tariffs and Trade (GATT) is that:

In order to effectively secure foreign exchange, which of the following is most likely to be used by countries experiencing severe shortages of foreign exchange?

Antidumping laws were specifically designed to prevent foreign producers from investing in the U.S. markets.

One country refuses to sell goods to its neighboring country based on the belief that the neighboring country harbors radicals and terrorists. In this case, the refusal is most accurately referred to as a(n):

It is mandatory for importers who want to buy a foreign good from a foreign country to apply for a business permit in that country.