This fund monitors the fixed exchange rate system.
What is The International Monetary Fund
100
The purpose of international trade is
What is benefit the trading partners
100
Goods bought from other countries for domestic use are called ________________.
What is imports
100
_____ can be converted from one currency to anotherthrough foreign exchange markets
What is money
100
Arguments against _________________________ include the protection of infant industries and national defense.
What is free trade
200
The lowering of a currency's value in relation to other currencies by government order is known as
What is devaluation
200
If Japan suffered from high inflation but the United States, its trading partner, did not, which country's goods would be mostly costly to buy?
What is Japan
200
Brazil specializes in producing bananas because in growing this product it has an
What is absolute advantage
200
The world's fixed exchange rate system was monitored by the
What is International Monetary Fund (IMF
200
If the forces of supply and demand set the price of various currencies, this is called
What is flexible rate of exchange
300
If the price of currency falls by the action of supply and demand, it is called
What is depreciation
300
The European Union (EU) is
What is a regional trade agreement.
300
Three products that account for over two-thirds of the total value of imports to the United States are
What is manufactured goods, transportation equipment, and oil
300
The ______ ______ of exchange was a solution to constantly changing differences in the relative values of various nations' money
What is flexible rate
300
The agreement designed to lower tariffs in North America is the
What is NAFTA
400
The most commonly used barrier to free trade is
What is the tariff.
400
If the amount of yen wanted by German exporters is greater than the supply of yen provided by Japanese who want to buy German goods,
the_______________will become more expensive in relation to the ______________ currency
What is the Japanese yen - German currency
400
The attitude toward free trade since World War II has been to relax the barriers toward _________
What is world trade
400
With a flexible rate of exchange, the value of the dollar is set by the laws of
What is supply and demand.
400
________ultimately pay for ________ because foreigners want something in exchange for goods that are shipped to the United States.
What is Exports - imports
500
An embargo is often used for
What is political reasons
500
A positive balance of trade results when the value of imports
What is is less than the value of exports
500
A nation is said to have a ________________________ when it can produce a product at a lower opportunity cost than another nation
What is comparative advantage
500
Under a ________________, a national government sets the value of its currency in relation to a single standard.
What is fixed rate of exchange
500
One of the important ways in which nations differ in the type and amount of the factors of production that they can use is the availability of ____________________.