Jigsaw V – Interregional Trade

Front

What is capital?

Back

Capital refers to the financial assets or resources that can be used to produce goods and services.

Front

What is financial capital?

Back

Financial capital is the money used by businesses to purchase what they need to produce their goods and services.

Front

What are the factors of production?

Back

The factors of production are land, labor, capital, and entrepreneurship.

Front

What is the cost of production?

Back

The cost of production is the total expense incurred in manufacturing a product or providing a service.

Front

Provide a situation in which production costs increase.

Back

An increase in raw material prices can lead to higher production costs.

Front

How might a company decrease its production costs?

Back

A company might decrease its production costs by improving operational efficiency or negotiating better prices with suppliers.

Front

What are imports and exports?

Back

Imports are goods and services purchased from other countries, while exports are goods and services sold to other countries.

Front

What is a trade deficit?

Back

A trade deficit occurs when a country's imports exceed its exports.

Front

What is a trade surplus?

Back

A trade surplus occurs when a country's exports exceed its imports.

Front

What are tariffs?

Back

Tariffs are taxes imposed on imported goods to protect domestic industries.