LDCs often have a comparative advantage in the production of ?
Output fell sharply in the transition economies because ?
If goods are exported for less than society’s marginal production cost and the marginal benefit to domestic consumers, it is likely that they benefit from?
A tariff causes domestic firms to ________ and consumers to?
The level of the equilibrium exchange rate offsets international differences in ?
International difference is opportunity costs lead to countries acquiring ?
To prevent the external value of the currency from falling the government might ?
The marginal propensity of consume is equal to ?
The terms of trade measure ?
If a country can produce 10 of product A or 4 of product B the opportunity cost of 1B is ?
A demand switching policy could be ?
What is not a feature of the EU as a single market ?
When free trade areas are set up the member countries trade with each other grows faster than their trade with other countries This is due to what economist call ?
Tariffs are used to protect infant industries these industries are those which ?
If the Uk placed a limit on the amount of steel that could be imported into the UK in a particular period this would be an example of ?
One of the main advantages of trade economists suggest is ?
A country has a comparative advantage in the production of a product if the good’s _____ cost in different from the good’s _____ cost in another country ?
A significant portion of actual world trade patterns results from ?
The most wave of globalization which began in the 1980s has emphasized the outsourcing of ?
A sudden shift from import tariffs to free trade may induce short-term unemployment in ?
For the United States, commercial jetliners are ?
International trade in goods and services tends to ?
A feasible effect of international trade is that a (an) ?
International trade tends to cause welfare losses to at least some groups in a country ?
Free traders maintain that an open economy is advantageous is that it provides all of the following except ?
For the United states, exports plus imports are about _____ of its gross national product?
The largest amount of trade with the United States in recent years has been conducted by ?
Arguments for free trade are sometimes disregarded by politicians because ?
The movement to free international trade is most likely to generate short-term unemployment in which industries ?
If a nation has an open economy it means that the nation ?
A main advantage of specialization results from ?
If a country has a burden of debt it cannot sustain it can ?
Import substitution is the replacement of by domestic production __ protection of ________?
LDCs are reluctant to pursue development through the export of primary products because of ____ and _____ ?
All of the following represent obstacles to LDC development except ?
Economic transition involves high inflation because ____ and ______?
An optimal tariff is one which reduces imports to the level at which ____ equals ____?
The imposition of a tariff causes consumption to _ and imports to _________?
The main cause of different relative costs between countries are ?
International specialization takes place because of__________?
If there is a balance of payments deficit then in a floating exchange rate system ?
In a floating exchange rate system ?
Tariffs ?
Free trade is based on the principle of ?
Which of the following is not an argument for protectionism ?
When countries from large trading blocs like the EU, the size of the bloc has the effect of improving them ?
If a group of countries abolish trade barriers between them and set same tariffs on goods coming in from other countries they are a ?
Economists suggest that an optimum tariff would be one which reduce imports to a point where__________?
Government payments made to domestic firms in order to encourage exports are called ?
The term tariff, as used in international trade refers to ?
Term of trade for a country are the ratio of to __________?

Economic integration ?

A. occurs when countries are granted most favored nation status
B. occurs when one country voluntarily agrees to reduce its exports to another country
C. occurs when two or more nations join to form a free-trade zone
D. Occurs when countries develop an acquired comparative advantage that makes their industries more competitive in international markets

Correct Answer: occurs when two or more nations join to form a free-trade zone ✔

Last Updated: June 18, 2019