Year 9 Economics Revision

What does Globalisation primarily refer to?

• Decreasing interconnectedness and interdependence of countries
• Isolation and self-sufficiency of countries
• Increasing interconnectedness and interdependence of countries
• Limited trade and cultural exchange between countries

Transnational Corporations (TNCs) are:

• Non-profit organizations
• Companies that operate in a single country
• Companies that operate in multiple countries
• Government-owned corporations

Which of the following is an import to Australia?

• Iron Ore

• Cars from Japan

• Wool

• Coal

A global supply chain allows a company to:

• Increase market reach, increase costs, access limited range of resources and suppliers, decrease efficiency and competitiveness.
• Expand market reach, increase costs, access limited range of resources and suppliers, decrease efficiency and competitiveness.
• Reduce market reach, increase costs, access limited range of resources and suppliers, decrease efficiency and competitiveness.
• Expand market reach, reduce costs, access wider range of resources and suppliers, increase efficiency and competitiveness.

One way the government can participate in the economy is by:

• Running all businesses

• Setting and enforcing regulations and policies

• Avoiding any involvement

• Controlling the stock market

A reason countries participate in global trade is to:

• Increase economic inequality, limit access to new markets, and ignore comparative advantage.
• Access resources or products that are not available domestically.

• Reduce economic growth, limit access to new markets, and ignore comparative advantage.
• Isolate themselves from global trade, limit economic growth, and avoid new markets.

An economic benefit of tourism is:

• Increase in pollution and environmental degradation
• Decrease in local culture and traditions
• Reduction in government revenue and employment opportunities
• Generation of revenue and job opportunities

In an open economy’s Circular Flow Model:

• Only domestic flows are considered

• Households, firms, government, and foreign sector interact

• There’s no role of government

• Trade doesn’t play a role

A positive aspect of a TNC using a global supply chain is:

• Higher costs and reduced profitability.
• Increased market access and opportunities for growth.
• Limited market reach and stagnant growth.
• Decreased market access and opportunities for growth.

An argument for Australia becoming less dependent on trade with China could be:

• Diversify trading partners and reduce risk of economic vulnerability.
• Ignore the risks and continue depending on China for trade.
• Rely solely on trade with China for economic stability.
• Increase trade with China to strengthen economic ties.