1) Trade connects countries by allowing them to exchange goods, services, and ideas. This system of mutual reliance is called: a) Tariffs b) Globalization c) Interdependence d) Protectionism 2) Which of the following is not an example of why nations trade? a) To isolate themselves from other countries b) To obtain resources they lack c) To sell what they produce efficiently d) To boost economic development and cooperation 3) Countries often focus in producing certain goods because of their resources, climate, or skills. This encourages: a) Isolationism b) Specialization c) Protectionism d) Tariffs 4) Some nations form alliances to reduce trade barriers and coordinate economic policies. These alliances are called: a) Protectionism agreements b) Economic Unions c) Tariffs d) Isolationist policies 5) Which of the following is not an economic union? a) European Union (EU) b) North American Free Trade Agreement / United States–Mexico–Canada Agreement (NAFTA/USMCA) c) World Trade Organization (WTO) d) North Atlantic Treaty Organization (NATO) 6) Which theory is most commonly associated with free trade? a) Karl Marx’s theory of communism b) Adam Smith’s Invisible Hand theory c) John Maynard Keynes’ theory of government spending d) Milton Friedman’s monetarism 7) One common tool used in protectionism is a: a) Tariff b) Export c) Economic Union d) Free Trade Agreement 8) Tariffs are used to a) Encourage imports b) Limit Imports c) Eliminate domestic competition d) Reduce prices 9) Japan practices a _______ policy due to its limited natural resources. a) Protectionist b) Free trade c) Isolationist 10) Which statement best describes the difference between protectionism and isolationism? a) Protectionism avoids most trade, while isolationism uses tariffs to protect domestic industries. b) Both avoid trade completely. c) Both rely heavily on economic unions. d) Protectionism uses tariffs and trade restrictions, while isolationism avoids most trade entirely.

Global Interdependence & Trade Systems

by
Print
Embed

Leaderboard

Visual style

Options

Switch template

Continue editing: ?