Business Foundations - Chapter 3 Business in the Global Economy

Occurs when a country sells more than it buys

International business is frequently referred to as world or __ trade

Occurs when a country buys more than it sells

Value of currency in 1 country compared to currency value in another is called interest rate

A joint venture is a agreement between 2 or more countries to remove duties and trade barriers

A limit on the quantity of products that may be exported or imported during a given period

Exists when a country can produce a good or service at a lower cost than other countries

The making, buying, and selling of goods and services within a country is called

A nation's transportation, communication, and utility systems are referred to as its ___

A trade ___ is a restriction to free trade

The difference between the amount of money that comes in and out of a country is called

A tax that a government places on certain imported products is called a(n)

Domestic business is business that is done across international borders

Goods and services sold to other countries are called

Completely prohibiting the import or export

Common market members

A country specializing in production of a good or service that it is relatively more efficient

a free-trade zone is a selected area where products can be imported duty-free & used

Which of the following is NOT a cultural/social factor that affects international business

A nation with a trade surplus is said to have a favorable trade position

The difference between a country's total exports and total imports is called the

A(n) ___ company is an organization that does business in several countries

The amount a country owes another country

The cost of using someone else's money

It is possible for the US to have a trade surplus with one country and trade deficit with another

The key effects on a country's level of economic development are

Accepted behaviors, customs, and values of a society are referred to as ___

When a country has a favorable balance of payments, the currency value is constant or rising

3 main factors that affect exchange rates are balance of payments, economic conditions, and __

The right to use a company name or business process in a specific way

Which of the following countries has an absolute advantage in coffee production

Value of currency in one country compared with the value in another