Question 1

Which of the following is limited to trade-related issues among Canada, Mexico, and United States?

Accepted Answer

NAFTA is a trade agreement between Canada, Mexico, and the United States.

Question 2

Which of the following occurs when a country imports more goods than it exports?

Accepted Answer

When a country imports more goods than it exports, it has a trade deficit.

Question 3

Which of the following is made up of countries that have signed a particular trade agreement?

Accepted Answer

A trading bloc is a group of countries that have signed a trade agreement to facilitate trade among them by reducing or eliminating trade barriers.

Question 4

Firms prefer to manufacture in countries that have , as it provides an opportunity to export to more markets.

Accepted Answer

A trade surplus means that a country exports more than it imports, which provides an opportunity for firms to export to more markets.

Question 5

Which of the following trade agreements represents the highest level of integration across individual nations?

Accepted Answer

The EU represents the highest level of integration across individual nations because it has a single currency, a common market, and a common set of laws and regulations.

Question 6

Which of the following was created by the Mercosur member nations, primarily in response to NAFTA?

Accepted Answer

The Free Trade Area of the Americas (FTAA) was created by the Mercosur member nations, primarily in response to NAFTA.

Question 7

Costa Rica and the Dominican Republic are members of:

Accepted Answer

Costa Rica and the Dominican Republic are both members of CAFTA, which stands for Central America Free Trade Agreement. This agreement includes the United States and several other Central American countries. NAFTA, on the other hand, includes the United States, Canada, and Mexico. FTAA is the proposed Free Trade Area of the Americas, which has not yet been fully implemented. ASEAN is the Association of Southeast Asian Nations, and Mercosur is a South American economic bloc.

Question 8

The trade agreement among Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Nicaragua, and the United States is called:

Accepted Answer

The trade agreement among Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Nicaragua, and the United States is called the Central America-Dominican Republic Free Trade Agreement (CAFTA-DR).

Question 9

The group of members who have signed a major agreement like the European Union can be called a(n):

Accepted Answer

A group of members who have signed a major agreement like the European Union is called a trading bloc. This refers to a group of countries that have come together to eliminate trade barriers between them and promote trade and economic integration. Examples of trading blocs include the EU, NAFTA, and ASEAN.

Question 10

Which of the following trading blocs is responsible for stimulating economies in its Southeast Asian member countries by lowering trade barriers and allowing higher levels of foreign investment?

Accepted Answer

ASEAN (Association of Southeast Asian Nations) is a trading bloc that aims to stimulate the economies of its Southeast Asian member countries by lowering trade barriers and encouraging foreign investment.

Question 11

Which of the following countries is a member of the European Union?

Accepted Answer

The answer of Which of the following countries is a...

Question 12

France decides to offer its finished clothing in exchange for packaged drinking water from the Belgium.This is an example of:

Accepted Answer

Countertrade is a form of international trade where goods and services are exchanged directly for other goods and services without using money, as in the case of France exchanging clothing for Belgium's packaged drinking water.

Question 13

Which of the following is defined as the market value of goods and services produced by a country in a year?

Accepted Answer

Gross Domestic Product (GDP) is the market value of all goods and services produced within a country in a year.

Question 14

Argentina, Brazil, Paraguay, Uruguay, and Venezuela are members of the trading bloc.

Accepted Answer

Argentina, Brazil, Paraguay, Uruguay, and Venezuela are members of Mercosur, a South American trade bloc.

Question 15

Which of the following trading blocs was originally formed to promote security in Southeast Asia during the Vietnam War?

Accepted Answer

ASEAN (Association of Southeast Asian Nations) was formed in 1967 during the Vietnam War to promote political and security cooperation among Southeast Asian countries.

Question 16

The trade between two countries where goods are traded for other goods and not for hard currency is known as:

Accepted Answer

Countertrade is a trade between two countries where goods are traded for other goods and not for hard currency.

Question 17

Brazil exchanged coffee for aircraft parts with a British aircraft manufacturer instead of cash.This is an example of:

Accepted Answer

Countertrade is a form of international trade where goods and services are exchanged for other goods and services instead of cash.

Question 18

Which of the following results when a country exports more goods than it imports?

Accepted Answer

When a country exports more goods than it imports, it results in a trade surplus, meaning the value of its exports exceeds the value of its imports.

Question 19

Canada is a member of:

Accepted Answer

Canada is a member of the North American Free Trade Agreement (NAFTA) along with the United States and Mexico.

Question 20

Which of the following is an intergovernmental agreement designed to manage and promote trade activities for specific regions?

Accepted Answer

A trade agreement is an intergovernmental agreement designed to manage and promote trade activities for specific regions.

Quiz 16: Marketing in the Global Environment Global Marketing