Unit 2 Posttest Review

Which of the following statements BEST describes how the Atlantic Gulf Stream affects Germany's natural resources?

• It has a warming influence, which enables Germany to be a major agricultural producer.

• It creates intense storms that make farming and agriculture difficult.

• It brings cold winds from the north, making German resources inaccessible each winter.

How does investment in capital goods affect a nation's Gross Domestic Product (GDP)?

• It causes the nation's GDP to fall.

• It causes the nation's GDP to cease to rise or fall at any significant rate.

• It causes the nation's GDP to rise.

Which of the following represents the MAIN economic reason for the formation of the European Union?

• to introduce trade tariffs among its members

• to establish voluntary trade among its members

• to strengthen European trade quotas

• to end all European trade embargoes

In 2015, in response to Russia's invasion of Ukraine, many European nations enacted sanctions against the agricultural sector of Russia. Under the sanctions, no European nations can trade with Russia for agricultural resources. What is the BEST description of these sanctions as an economic barrier to trade?

• The sanctions are an embargo.

• The sanctions are a quota.

• The sanctions are tariffs.

What contributes the MOST to the United Kingdom's historical success in international trade?

• Its warm climate attracts businesses that then trade with other countries.

• Its vast territory contains many valuable natural resources that it trades.

• Its location near major European markets makes it a major hub for trade.

Based on the table, how do the expenditures of these countries' governments compare?

• Germany likely spends the most on education.

• The United Kingdom likely spends the least on education.

• Russia likely spends the most on capital goods.

• The United Kingdom likely spends the least on capital goods.

Which statement about the effect of high levels of entrepreneurship on a national economy is correct?

• High levels of entrepreneurship generally lead to a decline in employment levels.

• High levels of entrepreneurship generally lead to a dynamic and innovative economy.

• High levels of entrepreneurship generally lead to a single-resource economy.

• High levels of entrepreneurship generally lead to low levels of capital investment.

If Alexandra, who lives in Genoa, Italy, wants to travel to a city where she will get the MOST local currency in exchange for her own currency, where should she travel?

• Berlin, Germany

• Cardiff, Wales

• Moscow, Russia

• London, England

Why is acid rain in Germany of concern to all of Europe?

• because of the increase in potential for extreme weather

• because of reduced trade for important German resources

• because of the close proximity of European nations to one another

Which statement about air pollution in the United Kingdom (UK) is correct?

• Historically, air pollution in the UK was caused by construction; today most air pollution comes from factories.

• Historically, air pollution in the UK came from factories; today most air pollution comes from automobiles.

• Historically, air pollution in the UK came from large farms; today most air pollution is caused by construction.