Podcast
Questions and Answers
What is the primary focus of the Balance of Trade in measuring international trade?
What is the primary focus of the Balance of Trade in measuring international trade?
- The access to factors of production
- The relationship between money flowing in and out of the country
- The inflow of innovation
- The relationship between export and import (correct)
What is the term for the ability of a nation to produce a good more efficiently than others?
What is the term for the ability of a nation to produce a good more efficiently than others?
- Absolute advantage (correct)
- Opportunity cost
- Competitive advantage
- Comparative advantage
What is the primary reason for a nation to engage in international trade, according to the concept of reduced risks?
What is the primary reason for a nation to engage in international trade, according to the concept of reduced risks?
- To reduce the loss of jobs
- To gain access to factors of production
- To increase its client base (correct)
- To reduce its dependence on domestic production
What is the term for the cost that a nation has to give up when choosing to produce one product over another?
What is the term for the cost that a nation has to give up when choosing to produce one product over another?
What is the primary consequence of a nation losing its competitive advantage, according to the concept of globalization?
What is the primary consequence of a nation losing its competitive advantage, according to the concept of globalization?
What is the underlying concept behind Italy's decision to focus on wine production?
What is the underlying concept behind Italy's decision to focus on wine production?
According to Porter's Diamond, what leads to increased production and technological innovations?
According to Porter's Diamond, what leads to increased production and technological innovations?
What is the term for buying part ownership of a business in a foreign country?
What is the term for buying part ownership of a business in a foreign country?
What is the term for finding resources in another country to provide goods or services?
What is the term for finding resources in another country to provide goods or services?
What is the term for a contract between a franchisee and franchiser?
What is the term for a contract between a franchisee and franchiser?
What is the term for selling the license of a product to a foreign market?
What is the term for selling the license of a product to a foreign market?
What is the term for restrictions on the amount of a product that can be imported?
What is the term for restrictions on the amount of a product that can be imported?
What is the term for a complete ban on trade with a country?
What is the term for a complete ban on trade with a country?
What is the term for the World Trade Organization's predecessor?
What is the term for the World Trade Organization's predecessor?
What is the term for the most open-to-culture approach in the EPG model?
What is the term for the most open-to-culture approach in the EPG model?
