International Economics Flashcards

1
Q

The concept of comparative advantage is based on

A

Comparative advantage in international business is based on opportunity costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

The us is considered an

A

Open economy

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

An import quota will provide the greatest benefit to

A

Domestic suppliers. Because it limits the quantity of a commodity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Trade protectionism seeks to protect domestic producers by restricting the importation of

A

Foreign goods and services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

The following account that is not used for payments statement is

A

Non-current account

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

When a competitors currency becomes weaker than US is has an

A

Advantage in the us market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Free fluctuating exchange rates correct a lack of equilibrium in the

A

Balance of payments

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

If the foreign currency conversion exchange rate increases the exports are

A

Less expensive in the us

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

The exchange risk that services from changes in currency exchange rates is

A

Economic exchange risk

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

International economic activity is not due to

A

The protection do done stoic manufacturing capabilities

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Freely fluctuating exchange rates

A

Automatically correct lack of equilibrium in balance payments

How well did you know this?
1
Not at all
2
3
4
5
Perfectly