1. 1 10 pt 15 pt 20 pt 25 pt 5 pt 10 pt 15 pt 20 pt 25 pt 5 pt 10 pt 15 pt 20 pt 25 pt 5 pt 10 pt 15 pt 20 pt 25 pt 5 pt 10 pt 15 pt 20 pt 25 pt 5 pt What’s the Advantage? Get out of my way! Let’s get together Dollar for Peso Other tradish stuff

2. 2 This happens when a person or nation can produce more of a given product using a given amount of resources.

3. 3 What is absolute advantage?

4. 4 A country has _______ in a product that it can produce most efficiently given all the products it could choose to produce.

5. 5 What is comparative advantage?

6. 6 The country with this type of advantage in producing CDs should specialize in producing CDs.

7. 7 What is comparative advantage?

8. 8 To determine comparative advantage, you need to examine this.

9. 9 What are the opportunity costs?

10. 10 The US and Canada both make shoes and hats. However, to make a pair of shoes, Canada has to sacrifice 3 hats. Meanwhile the US only has to sacrifice 1 hat for every pair of shoes made. This country has the Comparative Advantage.

11. 11 What is the US? (because there is less cost for them to make a pair of shoes)

12. 12 This trade barrier imposes a legal limit on the amount of a good that can be imported.

13. 13 What is a quota?

14. 14 This trade barrier is a self- imposed limitation on the number of products that are shipped to a particular country.

15. 15 What are voluntary export restraints (VER)?

16. 16 This is another word for a customs duty.

17. 17 What is a tariff?

18. 18 Economic conflict can result from trade barriers. When countries find themselves imposing more and more trade barriers with another country, they are said to be in this.

19. 19 What is a trade war?

20. 20 These are three arguments for protectionism.

21. 21 What is: - protecting jobs - protecting infant industries - safeguarding national security?

22. 22 This agreement reduced trade barriers between the US, Canada and Mexico

23. 23 What is NAFTA?

24. 24 This act, enacted in 1934, gave the president the power to reduce tariffs by up to 50%.

25. 25 What is the Reciprocal Trade Agreement Act?

26. 26 This organization was founded in 1995 to guarantee compliance with GATT.

27. 27 What is the World Trade Organization?

28. 28 This agreement was formed between 6 western European nations to coordinate economic and trade policies.

29. 29 What is the European Union?

30. 30 This agreement was established in 1948 to reduce tariffs and expand world trade.

31. 31 What is the General Agreement on Tariffs and Trade? (GATT)

32. 32 This enables you to convert prices in one currency to prices in another currency.

33. 33 What is the exchange rate?

34. 34 This the term for an increase in the value of a currency, or another way to describe when a currency becomes “stronger”.

35. 35 What is appreciation?

36. 36 This organization consists of about 2,000 banks and other financial institutions that facilitate the buying and selling of foreign currencies.

37. 37 What is the foreign exchange market?

38. 38 This is a currency system in which governments try to keep the values of their currencies constant against one another.

39. 39 What is a fixed exchange- rate system?

40. 40 This conference drew representatives from 44 countries. The goal was to make financial arrangements for the postwar world after the expected defeat of Germany and Japan.

41. 41 What was the Bretton Woods Conference?

42. 42 This is the currency used by the 12 member countries of the EU.

43. 43 What is the Euro?

44. 44 This organization dramatically raised the price of oil in the early 1970s, launching the US into a trade deficit.

45. 45 What is OPEC? (Organization of Petroleum Exporting Countries)

46. 46 This is the term used when the value of the dollar “weakens”.

47. 47 What is depreciate?

48. 48 If you are importing more than you export, you have this situation.

49. 49 What is a trade deficit?

50. 50 This organization includes countries that lie along the Pacific Rim. The nations involved have signed a nonbinding agreement to reduce trade barriers among their nations.

51. 51 What is APEC? (Asia-Pacific Economic Cooperation)

52. Final Jeopardy! How much are you willing to wager? The topic is: NAFTA

53. During the first 4 years of the NAFTA agreement, United States exports to Canada increased from $100 million to this amount.

54. What is $152 million?