11. Countervailing duties are intended to neutralize any unfair advantage that foreign exporters might gain over domestic producers because of foreign:

1. tariffs
2. export subsidies
3. quotas
4. voluntary export agreements

Answer: Page: 235

12.Which of the following countries spent the most on agricultural subsidies in 2017?

1. U.S.
2. Japan
3. EU
4. Korea

Answer: Page: 236, Case Study 9-4

13.Which of the following countries provided the largest agricultural subsidies as a percentage of its agricultural output in 2017?

1. U.S.
2. Japan
3. EU
4. Korea

Answer: Page: 236, Case Study 9-4

14. In large developed nations, which sector is most protected by nontariff trade barriers?

1. food, beverage and tobacco
2. textile and apparel
3. wood and wood products
4. basic metal industries

Answer: Page: 236, Case Study 9-5

15. According to Case Study 9-5, in which country are nontariff trade barriers most pervasive?

1. US
2. EU
3. Japan
4. Canada

Answer: Page: 236, Case Study 9-5

16.Strategic trade and industrial policy is advanced for industrial nations to acquire a comparative advantage in the _____.

1. agricultural sector
2. manufacturing sector
3. high-tech sector
4. energy sector

Answer: Page:242

17. Which of the following has benefited from the strategic trade and industry policy?

1. Japanese steel industry in the 1950s
2. Airbus since the 1970s
3. Chinese high-speed trains since 2000s
4. All of the above

Answer: Page:242

18._____ raised average import duty in the U.S. to the all-time high.

1. The Smoot-Hawley Tariff Act of 1930
2. The U.S. Tariff Assignment Act of 1954
3. The Trade Agreements Act of 1934
4. The Sarbanes-Oxley Act

Answer: Page: 246

19. The Smoot-Hawley Tariff Act of 1930 has often been associated with:

1. Reduction in tariffs
2. Reduction in non-tariff barriers
3. Increasing volume of trade for the US
4. Decreasing volume of trade for the US

Answer: Page: 246-247

20. Upon which of these principles was GATT founded?

1. Unconditional acceptance of the most-favored-nation principle
2. Elimination of nontariff trade restrictions (with a few exceptions)
3. Consultation among nations in solving trade disputes within the GATT framework
4. All of the above

Answer: Page: 247

21. Which of the following protectionist measures was adopted by the US Congress during the 1950s?

1. Peril-point provisions
2. Escape clause
3. National security clause
4. All of the above

Answer: Page: 248

22. The Kennedy Round of trade negotiation succeeded in significantly reducing ________.

1. Tariffs on industrial products
2. Government subsidies to industrial products
3. Tariffs on agricultural products
4. Government subsidies to agricultural products

Answer: Page: 248

23. Which of the following countries was NOT cited as one of the most unfair traders under the Omnibus Trade and Competitiveness Act of 1988?

1. China
2. Japan
3. India
4. Brazil

Answer: Page: 249

24.The World Trade Organization (WTO) was established by the _____ of multilateral trade negotiations.

1. Kennedy Round
2. Tokyo Round
3. Uruguay Round
4. Doha Round

Answer: Page:250-252

25. The Doha Round of trade negotiations failed in 2008 over disagreements over _________.

1. Tariffs on industrial products
2. Government subsidies to industrial products
3. Tariffs on agricultural products
4. Government subsidies to agricultural products