Trade Agreements Answers

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21
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What can be a result of free trade? Check all that apply.

A
trade imbalances
B
decreased production
C
lower economic growth
D
increased pollution
E
exploitation of workers
F
new opportunities
22
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Why were free trade zones created in China?

A
to avoid governmental rules and conditions
B
to attract investments by foreign countries
C
to import technology more easily
D
to control imports and exports
23

How can a nation benefit from effectively exporting its goods?

A
Its citizens can buy cheaper goods.
B
Its businesses can invest in the future.
C
Its domestic spending increases.
D
Its citizens have more money.
24

Which trade organization is responsible for 90% of the world’s trade?

A
the EU
B
ASEAN
C
the WTO
D
NAFTA
25

Which group primarily helps settle trade disputes?

A
European Union
B
World Trade Organization
C
Association of Southeast Asian Nations
D
North American Free Trade Agreements
26

Trade agreements can cause jobs to go to countries that provide those jobs

A
efficiently.
B
expensively.
C
freely.
D
gradually.
27

The primary benefit of a Free Trade Agreement is that they

A
allow countries to charge high tariffs on imports and exports.
B
allow countries to more easily buy what they do not produce.
C
have fewer economic restrictions than trade organizations.
D
can fund international finance projects.
28

What is one reason two countries may sign a treaty to create a direct agreement with one another?

A
to establish barriers to trade
B
to cut taxes
C
to collect more taxes
D
to limit trade opportunities for competing companies
29

How do trade agreements of international organizations affect trade?

A
by incentivizing the development of trade policies
B
by eliminating tariffs and taxes on imports and exports
C
by encouraging countries to provide open access to trade
D
by helping smaller countries compete in the world market
30

Countries establish internal economic zones in order to

A
limit foreign investment.
B
make solving disputes easier.
C
have fewer economic restrictions.
D
create manageable amounts of imports.

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