BUS 300 ch 3 quiz

_____ refers to sending work functions to another country resulting in domestic workers losing their jobs.

Outsourcing

Since the balance of payments is the summary of a country's financial transactions with another country, a discussion of a nation's balance of payments will need to include a discussion of:

all of the above

The _____ is defined as the difference in value of a country's exports and imports over a period of time.

balance of trade

Canada is currently the second largest producer of nickel in the world. The reopening of the world famous Voisey's Bay mine, which has total resources estimated at 124 million tons of nickel-bearing ore, should give Canada a clear:

comparative advantage

_____ are products that are bought from one country for use in another just as the U.S. buys wood pulp and timber from Canada.

imports

A(n) _____ is a tax levied by a nation on imported goods.

tariff

Which of the following is NOT an argument for tariffs that protect domestic businesses and workers?

the maintenance of improved quality of products to protect consumers

In 2018, Rwanda exported $98 million and imported products valued at $243 million. Rwanda has a(n):

unfavorable balance of trade

Protectionism:

uses artificial barriers to protect domestic industries

Currency markets operate under a system called _____. This means that prices of currencies vary based upon demand and supply of that currency.

floating exchange rate