Chapter 3 Test Review

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

A joint venture is an agreement among two or more countries to remove duties and trade barriers

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

A country can have an absolute advantage in only ONE area.

The difference between the amt of money that comes into a country and the amount that goes out.

International business is also know as world or _______ trade.

Which of the following scenarios is likely to cause the value of a country's currency to rise?

A limit the government places on what can be imported and exported during a given period.

A company that does business in several countries.

This is the amount a country owes to other countries.

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

The cost of using someone else's money?

Because of international trade, all nations use the same banking system.

This international trade organization was created in 1944 after WW2.

Without foreign trade, all of the items you buy would cost less.

Some countries limit the amt. of $$ their citizens can take out of the country when they travel

A country in which a multinational company conducts business activities is called

If a nation imports more than it exports, it has a trade

A tax that a government places on certain imported products is called,

Common market members

The situation in which a country specializes in the production of a good or service is called

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

Goods and services sold to other countries are called

A restriction on free trade

Today it is difficult to define economies in terms of national borders.

When the government stops the import or export of a product

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

Countries that devote their economies to agriculture provide better goods for their people.

About how many US jobs depend on international business?

Which of the following is NOT a goal of the World Trade Organization?

The United States conducts trade with more than how many countries?

The key factors that affect a country's level of economic development are:

A nation's transportation, communication and utility systems is called

Licensing

Selling the right to use some intangible property for a fee or royalty is called

When a country has a favorable balance of payments the value of its currency rises.

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

The value of a currency in one country compared with the value in another.

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

The accepted behaviors, customs and values of a society are called