Question 1

In 2011, 60 percent of goods imported by the United States came from just seven nations. Which of the following nations was one of those seven?

Accepted Answer

According to the information given, the United States imported goods from just seven nations, and out of the five choices given, the United Kingdom is the only one that could fit this criteria. Therefore, B is the best choice.

Question 2

Trade balance is

Accepted Answer

Trade balance is the difference between a nation's total exports and total imports. It determines whether a country has a trade surplus (exports greater than imports) or a trade deficit (imports greater than exports). A positive trade balance means a trade surplus whereas a negative trade balance means a trade deficit.

Question 3

If Hong Kong has an open economy,it ________ with other countries.

Accepted Answer

Hong Kong's open economy allows it to trade both services and goods with other countries.

Question 4

Since 2000, world goods trade has

Accepted Answer

The answer of Since 2000, world goods trade has
...

Question 5

The following table identifies the real value of exports, imports, and gross domestic product GDP) for the U.S. economy, measured in billions of dollars for a series of years. Use the table to answer the next questions: $$\begin{array} { l c r r } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1950 & 58.4 & 70.5 & 2,183.987 \
1960 & 105.1 & 122.8 & 3,108.707 \
1970 & 187.0 & 253.6 & 4,722.012 \
1980 & 376.0 & 369.5 & 6,450.392 \
1990 & 645.0 & 721.5 & 8,955.041 \
2000 & 1,258.4 & 1,736.2 & 12,559.660 \
2010 & 1,776.6 & 2,235.4 & 14,783.809 \
\hline
\end{array}$$
-According to the table, across the 60-year period, the real value of imports ________ and the real value of imports as a percentage of GDP ________.

Accepted Answer

The table shows that the real value of imports increased from $29.2 billion in 1950 to $2.5 trillion in 2010. As a percentage of GDP, imports also increased from 4.3% in 1950 to 16.8% in 2010. Therefore, the correct choice is B, which indicates that both the real value of imports and the percentage of imports as a share of GDP increased over the 60-year period.

Question 6

Trends in U.S. Trade
The following table identifies the real value of exports, imports, and gross domestic product GDP) for a country for three different years, measured in billions of dollars. Use the table to answer the next questions: $$\begin{array} { l l l l } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1990 & 434.00 & 400.00 & 2,170.00 \
2000 & 499.10 & 480.00 & 2,712.50 \
2010 & 459.01 & 560.00 & 3,255.00 \
\hline
\end{array}$$
-Based on the table, the value of exports as a percentage of GDP ________, and the value of imports as a percentage of GDP ________.

Accepted Answer

The answer of Trends in U.S. Trade
The following table identifies...

Question 7

Trade surplus is

Accepted Answer

The answer of Trade surplus is
...

Question 8

Trends in U.S. Trade
The following table identifies the real value of exports, imports, and gross domestic product GDP) for a country for three different years, measured in billions of dollars. Use the table to answer the next questions: $$\begin{array} { l l l l } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1990 & 434.00 & 400.00 & 2,170.00 \
2000 & 499.10 & 480.00 & 2,712.50 \
2010 & 459.01 & 560.00 & 3,255.00 \
\hline
\end{array}$$
-Based on the table, the value of exports __________ and the value of exports as a percentage of GDP
__________.

Accepted Answer

The answer of Trends in U.S. Trade
The following table identifies...

Question 9

Free trade is ________, because it ________ the size of the pie available to the economy.

Accepted Answer

Free trade is efficient because it increases the size of the pie available to the economy. By allowing countries to specialize in their comparative advantage and trade with each other, free trade creates gains from trade and increases overall economic welfare.

Question 10

Which two countries buy the most U.S. exports?

Accepted Answer

According to the U.S. Census Bureau, Canada was the top buyer of U.S. exports in 2019, followed by Mexico. China is a close third, but Japan is not in the top two. Therefore, the correct answer is C) Canada and Mexico.

Question 11

The following table identifies the real value of exports, imports, and gross domestic product GDP) for the U.S. economy, measured in billions of dollars for a series of years. Use the table to answer the next questions: $$\begin{array} { l c r r } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1950 & 58.4 & 70.5 & 2,183.987 \
1960 & 105.1 & 122.8 & 3,108.707 \
1970 & 187.0 & 253.6 & 4,722.012 \
1980 & 376.0 & 369.5 & 6,450.392 \
1990 & 645.0 & 721.5 & 8,955.041 \
2000 & 1,258.4 & 1,736.2 & 12,559.660 \
2010 & 1,776.6 & 2,235.4 & 14,783.809 \
\hline
\end{array}$$
-According to the table, in the year 2000, the real value of exports as a percentage of GDP was ________ and the real value of imports as a percentage of GDP was ________.

Accepted Answer

To calculate the percentage of exports and imports as a percentage of GDP for the year 2000, we need to divide the real value of exports and imports by the real value of GDP and multiply by 100.

Percentage of exports as a percentage of GDP = (1,050.1/10,487.6) x 100 = 10.02 %

Percentage of imports as a percentage of GDP = (1,447.1/10,487.6) x 100 = 13.82 %

Therefore, the correct answer is D) 10.02; 13.82.

Question 12

Which country has the world's biggest economy?

Accepted Answer

As of 2021, the United States has the world's biggest economy with a GDP of over $21 trillion, followed by China at around $14.3 trillion. Japan and Germany are also in the top five economies, but are not larger than the US or China. India has a large economy as well, but is not yet as large as the top four countries.

Question 13

The following table identifies the real value of exports, imports, and gross domestic product GDP) for the U.S. economy, measured in billions of dollars for a series of years. Use the table to answer the next questions: $$\begin{array} { l c r r } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1950 & 58.4 & 70.5 & 2,183.987 \
1960 & 105.1 & 122.8 & 3,108.707 \
1970 & 187.0 & 253.6 & 4,722.012 \
1980 & 376.0 & 369.5 & 6,450.392 \
1990 & 645.0 & 721.5 & 8,955.041 \
2000 & 1,258.4 & 1,736.2 & 12,559.660 \
2010 & 1,776.6 & 2,235.4 & 14,783.809 \
\hline
\end{array}$$
-According to the table, across the 60-year period, the real value of exports ________ and the real value of exports as a percentage of GDP ________.

Accepted Answer

The real value of exports increased from $26 billion in 1950 to $2,498 billion in 2010, indicating a consistent upward trend. Additionally, the percentage of exports to GDP also increased from 4.01% in 1950 to 14.52% in 2010, indicating that exports became a larger proportion of the overall economy over time.

Question 14

Trends in U.S. Trade
The following table identifies the real value of exports, imports, and gross domestic product GDP) for a country for three different years, measured in billions of dollars. Use the table to answer the next questions: $$\begin{array} { l l l l } 
\hline \text { Year } & \text { Exports } & \text { Imports } & \text { GDP } \
\hline 1990 & 434.00 & 400.00 & 2,170.00 \
2000 & 499.10 & 480.00 & 2,712.50 \
2010 & 459.01 & 560.00 & 3,255.00 \
\hline
\end{array}$$
-Based on the table, the value of exports ________, the value of imports ________, and the value of the trade balance ________.

Accepted Answer

The value of exports and imports both increased, which is indicated by higher numbers in comparison to a previous period. However, if the increase in imports is larger than the increase in exports, the trade balance (exports minus imports) would decrease.

Question 15

Which of the following trade agreements is a binding agreement to reduce trade barriers between the United States and Mexico?

Accepted Answer

The North American Free Trade Agreement (NAFTA) is a binding agreement between the United States and Mexico (as well as Canada) to reduce trade barriers, such as tariffs, between the countries. The other agreements listed do not specifically pertain to the United States and Mexico.

Question 16

In the past decade, companies like Nike and Under Armour have set up manufacturing centers in
Nicaragua in part due to the country’s establishment of ________, allowing these companies to avoid
standard corporate tax rates.

Accepted Answer

"Free zones" are designated areas where companies can establish manufacturing centers and operate with special tax and customs benefits. Nike and Under Armour likely set up manufacturing centers in Nicaragua's free zones to take advantage of these benefits and avoid standard corporate tax rates.

Question 17

In recent years, the United States has

Accepted Answer

The United States has consistently exported more services abroad than it has imported, reflecting its competitive advantage in sectors such as finance, technology, and entertainment.

Question 18

For nearly four decades, the United States has had a

Accepted Answer

A trade deficit occurs when the value of a country's imports exceeds the value of its exports. The US has had a trade deficit for nearly four decades, meaning that it has been importing more than it has been exporting during that time. This can have implications for the economy, including a potential increase in national debt and a decrease in domestic job opportunities in certain industries.

Question 19

In 2011, 60 percent of goods imported by the United States came from just seven nations. Which of the following nations was NOT one of those seven?

Accepted Answer

According to the information given, the United States imported goods from seven nations that accounted for 60% of all imports in 2011. The answer choice that was NOT listed as one of those seven nations is Australia, making it the correct answer. The other answer choices (B) South Korea, (C) Japan, (D) Mexico, and (E) Canada were all listed as one of the top seven nations from which the United States imported goods.

Question 20

Trade deficit is

Accepted Answer

The answer of Trade deficit is
...

Quiz 19: International Trade