Question 1

Home country consumers are typically active in preventing their domestic companies from dumping products into foreign markets.

Accepted Answer

A) True 
 B)False  False

Question 2

Advocates of the comparable access argument for trade protection primarily assert that domestic industries ________.

Accepted Answer

A)  will deteriorate in countries that have lower import restrictions than their trading partners 
B)  should be required to implement export-led development policies on foreign competitors 
C)  are entitled to the same access to foreign markets as foreign industries have to their markets 
D)  are forced to lower prices for domestic consumers because of foreign import restrictions 
A)  will deteriorate in countries that have lower import restrictions than their trading partners 
B)  should be required to implement export-led development policies on foreign competitors 
C)  are entitled to the same access to foreign markets as foreign industries have to their markets 
D)  are forced to lower prices for domestic consumers because of foreign import restrictions C

Question 3

Imports can stimulate exports by ________.

Accepted Answer

A)  redistributing the work force 
B)  curtailing domestic competition 
C)  generating more tax revenue 
D)  increasing foreign income 
A)  redistributing the work force 
B)  curtailing domestic competition 
C)  generating more tax revenue 
D)  increasing foreign income D

Question 4

The countries most likely to be successful at using trade retaliation are large trading countries.

Accepted Answer

A) True 
 B)False

Question 5

Export-led development refers to ________.

Accepted Answer

A)  a country's efforts to promote its exports in order to reduce its trade deficits 
B)  a policy to promote domestic production of goods that would otherwise be imported 
C)  a program to promote industries with export potential 
D)  decreases in infrastructure development due to the loss of revenue from export tariffs 
A)  a country's efforts to promote its exports in order to reduce its trade deficits 
B)  a policy to promote domestic production of goods that would otherwise be imported 
C)  a program to promote industries with export potential 
D)  decreases in infrastructure development due to the loss of revenue from export tariffs

Question 6

In a short essay,list and discuss the nontariff barriers that relate to direct price influences: subsidies,aid and loans,customs valuations,and other direct price influences.

Accepted Answer

Governments also give aid and loans to o

Question 7

According to the optimum tariff theory,a foreign producer will most likely ________.

Accepted Answer

A)  ship highly taxed goods internationally on a per-unit basis 
B)  lower its export prices if the importing country imposes an import tax on its products 
C)  assess a tax on goods shipped internationally based on a percentage of the goods' value 
D)  seek import tariffs by using the comparable access argument 
A)  ship highly taxed goods internationally on a per-unit basis 
B)  lower its export prices if the importing country imposes an import tax on its products 
C)  assess a tax on goods shipped internationally based on a percentage of the goods' value 
D)  seek import tariffs by using the comparable access argument

Question 8

Many companies and industries argue that they should have the same access to foreign markets as foreign industries and companies have to their markets.In a short essay,discuss this issue of "comparable access," or "fairness."

Accepted Answer

From an economic standpoint,comparable a

Question 9

The essential-industry argument holds that industries with potential export capabilities should be protected.

Accepted Answer

A) True 
 B)False

Question 10

There are several reasons for a company to sell products abroad at either below cost or below the price in the home country.Which of the following is one of these reasons?

Accepted Answer

A)  encouraging foreign consumers to try new products 
B)  improving the exporting country's terms of trade 
C)  gaining imports that are sold below cost 
D)  following import substitution objectives 
A)  encouraging foreign consumers to try new products 
B)  improving the exporting country's terms of trade 
C)  gaining imports that are sold below cost 
D)  following import substitution objectives

Question 11

When a company is seeking protection from imports,it can usually improve its chances of getting that protection if it allies with most of the companies in the industry.

Accepted Answer

A) True 
 B)False

Question 12

The group most likely to become involved in disputes concerning trade protectionism is consumers.

Accepted Answer

A) True 
 B)False

Question 13

An import license is ________.

Accepted Answer

A)  an agreement whereby one country gives another country permission to use a patent that a company has registered there 
B)  a requirement that exporters take merchandise in lieu of money as payment for their sales 
C)  a requirement that permission be secured from governmental authorities before importation can be undertaken 
D)  a government prohibition of imports from a specific country 
A)  an agreement whereby one country gives another country permission to use a patent that a company has registered there 
B)  a requirement that exporters take merchandise in lieu of money as payment for their sales 
C)  a requirement that permission be secured from governmental authorities before importation can be undertaken 
D)  a government prohibition of imports from a specific country

Question 14

Describe and compare the different types of tariffs (duties).

Accepted Answer

A tariff,or duty,the most common type of

Question 15

Infant-industry protection requires some segment of the economy to incur the higher costs when local production is inefficient.

Accepted Answer

A) True 
 B)False

Question 16

It is sometimes contended that by imposing import controls a country might be able to increase its exports.This contention is premised on ________.

Accepted Answer

A)  the country's simultaneous currency depreciation, which decreases the price of its exports 
B)  using the import taxes to institute efficiency measures in potential export industries 
C)  raising domestic prices in one industry so that the excess domestic profits in that industry can compensate for the cost of dumping products from another industry into foreign markets 
D)  getting other countries to maintain or relax their current import restrictions instead of escalating restrictions in a trade war 
A)  the country's simultaneous currency depreciation, which decreases the price of its exports 
B)  using the import taxes to institute efficiency measures in potential export industries 
C)  raising domestic prices in one industry so that the excess domestic profits in that industry can compensate for the cost of dumping products from another industry into foreign markets 
D)  getting other countries to maintain or relax their current import restrictions instead of escalating restrictions in a trade war

Question 17

What are the main arguments for limiting trade in services? What is your opinion on limiting trade in services?

Accepted Answer

Countries restrict trade in services for

Question 18

The rationale for the infant-industry argument for trade protection is that ________.

Accepted Answer

A)  incubator centers in which business, government, and academia cooperate will develop entrepreneurial companies 
B)  a country should give one firm in an industry a monopoly status so that it will grow large enough to be competitive internationally 
C)  it takes time for an industry to become competitive in world markets, so protection is needed to help this industry pass through the critical period 
D)  lower restrictions should be placed on products coming from countries where a government has a large sphere of political influence 
A)  incubator centers in which business, government, and academia cooperate will develop entrepreneurial companies 
B)  a country should give one firm in an industry a monopoly status so that it will grow large enough to be competitive internationally 
C)  it takes time for an industry to become competitive in world markets, so protection is needed to help this industry pass through the critical period 
D)  lower restrictions should be placed on products coming from countries where a government has a large sphere of political influence

Question 19

The lowering of a foreign producer's price as a result of an imposed import tax is known as an optimum tariff.

Accepted Answer

A) True 
 B)False

Question 20

Agricultural subsidies by developed countries impede the competitiveness of agricultural exports by developing countries.

Accepted Answer

A) True 
 B)False

Home country consumers are typically active in preventing their domestic companies from dumping products into foreign markets.

Advocates of the comparable access argument for trade protection primarily assert that domestic industries ________.

Imports can stimulate exports by ________.

The countries most likely to be successful at using trade retaliation are large trading countries.

Export-led development refers to ________.

In a short essay,list and discuss the nontariff barriers that relate to direct price influences: subsidies,aid and loans,customs valuations,and other direct price influences.

According to the optimum tariff theory,a foreign producer will most likely ________.

Many companies and industries argue that they should have the same access to foreign markets as foreign industries and companies have to their markets.In a short essay,discuss this issue of "comparable access," or "fairness."

The essential-industry argument holds that industries with potential export capabilities should be protected.

There are several reasons for a company to sell products abroad at either below cost or below the price in the home country.Which of the following is one of these reasons?

When a company is seeking protection from imports,it can usually improve its chances of getting that protection if it allies with most of the companies in the industry.

The group most likely to become involved in disputes concerning trade protectionism is consumers.

An import license is ________.

Describe and compare the different types of tariffs (duties).

Infant-industry protection requires some segment of the economy to incur the higher costs when local production is inefficient.

It is sometimes contended that by imposing import controls a country might be able to increase its exports.This contention is premised on ________.

What are the main arguments for limiting trade in services? What is your opinion on limiting trade in services?

The rationale for the infant-industry argument for trade protection is that ________.

The lowering of a foreign producer's price as a result of an imposed import tax is known as an optimum tariff.

Agricultural subsidies by developed countries impede the competitiveness of agricultural exports by developing countries.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters

Exam 6: Governmental Influence on Trade

Home country consumers are typically active in preventing their domestic companies from dumping products into foreign markets.

Advocates of the comparable access argument for trade protection primarily assert that domestic industries ________.

Imports can stimulate exports by ________.

The countries most likely to be successful at using trade retaliation are large trading countries.

Export-led development refers to ________.

In a short essay,list and discuss the nontariff barriers that relate to direct price influences: subsidies,aid and loans,customs valuations,and other direct price influences.

According to the optimum tariff theory,a foreign producer will most likely ________.

Many companies and industries argue that they should have the same access to foreign markets as foreign industries and companies have to their markets.In a short essay,discuss this issue of "comparable access," or "fairness."

The essential-industry argument holds that industries with potential export capabilities should be protected.

There are several reasons for a company to sell products abroad at either below cost or below the price in the home country.Which of the following is one of these reasons?

When a company is seeking protection from imports,it can usually improve its chances of getting that protection if it allies with most of the companies in the industry.

The group most likely to become involved in disputes concerning trade protectionism is consumers.

An import license is ________.

Describe and compare the different types of tariffs (duties).

Infant-industry protection requires some segment of the economy to incur the higher costs when local production is inefficient.

It is sometimes contended that by imposing import controls a country might be able to increase its exports.This contention is premised on ________.

What are the main arguments for limiting trade in services? What is your opinion on limiting trade in services?

The rationale for the infant-industry argument for trade protection is that ________.

The lowering of a foreign producer's price as a result of an imposed import tax is known as an optimum tariff.

Agricultural subsidies by developed countries impede the competitiveness of agricultural exports by developing countries.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters