Question
Please help me answer these multiple-choice questions 1)Why do nations trade with other nations? a) They trade to satisfy mutual needs/wants for goods and services.
Please help me answer these multiple-choice questions
1)Why do nations trade with other nations?
a) They trade to satisfy mutual needs/wants for goods and services.
b) Some nations have more than enough of a good/service and sell to other countries.
c) Some nations have a shortage of particular goods/services and buy from other countries.
d) All of these.
2) Which of the following is not considered a barrier to trade?
a) boycotts
b) testing requirements
c) absolute advantage
d) protection
3) Which of the following is NOT an example of a subsidy.
a) Ontario gov't pays businesses to produce more lysol wipes.
b) Canadian gov't offers a tax reduction on businesses for producing more toilet paper.
c) Canadian gov't offers a tax reduction on imports of 3 layer masks.
d) Canadian gov't creates a grant for businesses to produce more hand sanitizer.
4) Which two countries currently have a trade embargo?
a)Canada and the United States
b)United States and Mexico
c)China and Japan
d)United States and Cuba
5)Which of the following is an example of a quota.
a)Canada had a limit for the number of automobiles they allowed into the country in the 1980s from Japan.
b)Donald Trump wanted to build a wall along the US-Mexico border because they already have enough Mexicans living in the US.
c)Canada stopped allowing refugees to cross the land borders between Canada and US early in the pandemic.
d)Donald Trump wanted to stop the shipment of 3M masks from the US to Canada early in the pandemic.
6) Which of the following is NOT an example of merchandise trade?
a)tourism
b)bottled water
c)cars
d)oil
7) If the US dollar is currently worth $0.79 in Canadian dollars. This means,
a)Canadians would receive $79 US in exchange for $100 CAD
b)Canadians would pay $79 Canadian in exchange for $100 US.
c)Canadians would pay approximately $126.58 Canadian in exchange for $100 US.
d)Both a and c above
8)Which of the following does NOT effect the supply or demand of the CAD.
a)trade balance
b)Donald Trump's twitter account
c)inflation rates
d)interest rates
9)Which of the following will NOT cause the CAD to appreciate?
a)increased demand for Canadian goods and services
b)low interest rates in Canada
c)increased demand for CAD
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