Economic IGOs

Question 1

What was Ghana’s status in cocoa production during colonial times?

Answer 1

Ghana was the world’s largest producer of cocoa

This was during the period when it was ruled by Britain.

Question 2

Who set the price that Ghanaian farmers received for cocoa during colonial times?

Answer 2

The British government

This controlled the income of Ghanaian farmers.

Question 3

What are the three factors that dictate global cocoa prices since Ghana’s independence in 1957?

Answer 3

• Commodity traders
• Overseas tariffs
• Unequal power

Question 4

What is the futures market in relation to cocoa trading?

Answer 4

A market where traders buy cocoa in advance for TNCs, guaranteeing supply, price, and delivery date months ahead

TNCs refer to Transnational Corporations.

Question 5

What effect do alternative cocoa sources have on prices?

Answer 5

They put downward pressure on prices

Other cocoa growers, such as Ivory Coast, provide competition.

Question 6

What is the tariff situation for processed cocoa versus raw cocoa beans in the EU?

Answer 6

The EU sets tariffs for processed cocoa but none for raw cocoa beans.

Question 7

How could Ghana potentially increase its income from cocoa?

Answer 7

By processing its cocoa beans into powder or chocolate before export

This would create higher value-added products.

Question 8

What challenge do tariffs on processed cocoa impose on Ghana?

Answer 8

They drive up the price for buyers, forcing Ghana to export raw cocoa beans instead.

Question 9

What condition did the WTO impose on Ghana when it joined in 2000?

Answer 9

Ghanaian farmers should not be subsidised.

Question 10

How does the subsidy situation affect Ghanaian farmers compared to American and European farmers?

Answer 10

Ghanaian farmers cannot compete with imported and subsidised American or European foods.

Question 11

What has happened to some Ghanaian rice producers and tomato growers due to market conditions?

Answer 11

They have given up altogether

This is due to cheap subsidised imports flooding the market.

Question 12

True or False: Ghana’s government used to subsidise farmers to encourage food production.

Answer 12

True

Question 13

Fill in the blank: Ghana joined the _______ in 2000.

Answer 13

WTO

Question 14

What percentage of Guatemala’s cotton crop was exported in the 1980s?

Answer 14

75%

This high export percentage indicates the reliance on cotton as a primary cash crop.

Question 15

What was the income generated from cotton exports used for?

Answer 15

To buy pesticides, machines, and equipment for future crops

This investment was aimed at improving agricultural productivity.

Question 16

What would have increased Guatemala’s export earnings instead of exporting raw cotton?

Answer 16

Processing raw cotton into finished clothes

This would have created more value-added products for export.

Question 17

What percentage of land devoted to cotton production would have been needed to generate the same income if finished clothes were exported?

Answer 17

1%

This suggests a more efficient agricultural model could have been implemented.

Question 18

What effect did WTO policies have on Guatemala’s cotton export strategy?

Answer 18

Made it difficult for Guatemala to process cotton and export finished products

This limitation restricted the country’s economic potential.

Question 19

What happened to cotton production in Guatemala by 2005?

Answer 19

Ended due to competition from other countries

This led to a significant shift in the agricultural landscape.

Question 20

What do TNCs do in Guatemala regarding cotton?

Answer 20

Import raw cotton and use the workforce to produce cheap T-shirts for export

This reflects a shift from local production to global supply chains.

Question 21

In what year did Pakistan join the World Trade Organisation (WTO)?

Answer 21

1995

Question 22

What trade rule did Pakistan implement after joining the WTO?

Answer 22

Opened up its fishing grounds to foreign competition

Question 23

What was the purpose of the 200-mile exclusion zone around Pakistan’s coast prior to joining the WTO?

Answer 23

To allow only Pakistani fishing boats to fish there

Question 24

What types of fishing vessels were allowed to fish in Pakistan’s waters after joining the WTO?

Answer 24

Deep-sea trawlers owned by TNCs

Question 25

Which country’s trawlers, besides others, are mentioned as taking most of the catch in Pakistan?

Answer 25

India

Question 26

What consequence did the opening of Pakistan’s fishing waters to foreign competition have on local fishing communities?

Answer 26

Left in poverty

Question 27

What report was published by ActionAid in 2013 regarding Pakistan’s fishing industry?

Answer 27

‘Taking the fish’

Question 28

What alarming finding did ActionAid report regarding Pakistan’s fish stocks?

Answer 28

Falling to dangerously low levels

Question 29

How did coastal villagers feel about their right to fish after the changes in fishing regulations?

Answer 29

Felt it had been taken away

Question 30

What was the fate of thousands of fishermen according to the report by ActionAid?

Answer 30

Forced to give up fishing altogether

Question 31

Fill in the blank: Pakistan enforced a _______ exclusion zone around its coast before joining the WTO.

Answer 31

200-mile

Question 32

True or False: After joining the WTO, only Pakistani boats were allowed to fish in its coastal waters.

Answer 32

False