International Business Class - Chapter 7

The situation where a government does not attempt to restrict what its citizen can buy form another country or what they can sell to another country

• Free Trade Agreement

• Free Trade

• International trade

• Regional trade

The free trade agreement in Southeast Asia (ASEAN) is

• NAFTA

• DR-CAFTA

• AFTA

• EPA

The demands that some specific fraction of a good be produced domestically is one of the government intervention in international trade in the term of

• Local content requirements

• Subsidies

• Voluntary export restraints

• Administrative policies

A tax levied as a proportion of the value of the imported good is the definition of

• Tariffs

• Specific tariffs

• Import quotas

• Ad valorem tariffs

A direct restriction on the quantity of some good that may be imported into a country

• Import quota

• Tariff rate quota

• Voluntary export restraint

• Quota rent

The bellow are kind of political argument for government intervention in trade, except:

Protecting jobs and industries

• Protecting jobs and industries

• Strategic trade policies

• National security

• Furthering foreign policy objectives

General Agreements on Tariffs and Trade was established in

• 1945

• 1947

• 1957

• 1974

The WTO’s focus concerned with the high level of tariffs and subsidies in the agricultural sector of many economies is WTO’s currently focusing on

• Anti-dumping policies

• Market access

• Protecting in agriculture

• Protecting intellectual property

A new round of talks Doha focusing on these term, except

• Cutting tariffs on industrial goods and service

• Increasing subsidies

• Reducing barriers to cross-border investment

• Limiting the use of anti-dumping laws

Trade barriers can limit a firm’s ability to disperse production globally in these term, except

• Trade barriers raise the cost of exporting

• Firms may have to locate production activities

• Trade barriers raise the firm’s profit

• The threat of future trade barriers can influence firm strategy