Ch. 8- Quiz Flashcards
Which one of the following is the process whereby countries in a geographic region cooperate to reduce or eliminate barriers to the international flow of products, people, or capital?
Regional economic integration (regionalism)
A ________ is the lowest extent of national integration.
free trade area
What is the main difference between a free trade area and a customs union?
Members of a customs union agree to treat trade with all nonmember nations in a similar manner.
Which of the following is a positive effect of regional trade agreements?
Trade creation
Which of the following is a negative effect of regional trade agreements?
Loss of national sovereignty
Which of the following is a main regional trading bloc?
European Union
Today, the EU has ________ members.
28
The currency of the EU is the ________.
euro
Which of the following is a criterion for member nations to use the euro as outlined in the Maastricht Treaty?
A level of inflation no greater than 3.2%
The structure of the EU includes which one of the following?
Council of the EU
Candidates for EU membership become members after they meet certain demands. Which one of the following is one of those demands?
Stable institutions that guarantee democracy, rule of law, and human rights
Which one of the following is a reason that some European countries did not join the EU?
They feared destructive rivalries and loss of national sovereignty.
Which of the following is a provision of NAFTA?
Elimination of tariffs on goods originating within North America
Criteria that determine whether a good meets NAFTA rules of origin include which one of the following?
Goods wholly produced or obtained in the NAFTA region
Which of the following is an effect of NAFTA?
The United States exports more to Mexico.
Which one of the following is a trade bloc in the Americas?
CAFTA-DR
Which of the following statements about ASEAN is TRUE?
ASEAN seeks to counter China’s rising strength, resources of cheap labor, and abundant raw materials.
Which one of the following is a fact about ASEAN that warrants consideration?
Corruption and shadow markets
Which one of the following describes Asia Pacific Economic Cooperation (APEC)?
APEC wants to simplify and harmonize customs procedures.
Which one of the following is an area of progress for The Economic Community of West African States (ECOWAS)?
Development of international telecommunication links
Which one of the following statements describes the African Union (AU)?
The aim of the AU is to remove vestiges of colonialism and apartheid.
Which one of the following statements about the Gulf Cooperation Council (GCC) is TRUE?
The primary purpose was to cooperate with the EU and EFTA.
Which organization of Asian countries also includes the United States?
The organization for Asia Pacific Economic Cooperation
Which one of the following is a problem facing Economic Community of West African States (ECOWAS)?
Political instability
Which one of the following describes the Closer Economic Relations (CER) Agreement?
Australia and New Zealand created a free trade agreement in 1966.
