Trade

Question 1

What goods and services do we import and export?

Answer 1

Highest imports- petrol, passenger motor vehicles, gold and medicines
Highest exports- coal, iron ore, education and gold

Question 2

What is meant by trade?

Answer 2

The exchange of goods and services between nations.

Question 3

What is a Tariff?

Answer 3

A tax on imported goods

Question 4

Multinational (transnational) companies and why these companies are growing

Answer 4

Organisations that operate in more than one country; their head office is based in one country but they have branches in other countries. These companies are growing because:

• It is often economical for a multinational to establish part of its business operations in a country other than its own, because of cheaper manufacturing costs due to lower labour rates,
• products are popular with consumers in all parts of the world
• led to the development of new markets and use the increased accessibility to money and other resources to help them grow their businesses.

Question 5

Who do we import from and export to?

Answer 5

Highest imports from- China, the USA, Japan and Singapore

Highest exports to- Japan, China, Korea, India and the USA

Question 6

Terms of Trade

Answer 6

Calculated by dividing the prices paid for imports with the prices paid for the exports; represents the overall trading position of a country.

Question 7

Imports

Answer 7

Goods and services purchased from an overseas seller and sold in the Australian Market

Question 8

Exports

Answer 8

Goods and services produced in Australia and purchased by overseas countries