- to take advantage of affordable land prices.
- to take advantage of abundant resources.
- to take advantage of lower labor costs.
- to take advantage of favorable tax laws.
How has globalization made countries more independent?
How has globalization made countries more interdependent? … –
Countries now rely on one another for chances to import
. – Countries rely on each other for cheaper products. – One way to measure economic growth is by using GDP, which stands for Countries now rely on one another for chances to export.
What kind of advantage does a country have if it can make a product more efficiently?
Absolute advantage
refers to the ability of a country to produce a good more efficiently than other countries. In other words, a country that has an absolute advantage can produce a good with lower marginal cost (fewer materials, cheaper materials, in less time, with fewer workers, with cheaper workers, etc.).
How Does globalization cause the foreign sector to influence the economy?
How does globalization cause the foreign sector to influence the economy? The foreign sector
influences how imports and exports move between firms and households
. more options and lower prices.
Which is the best conclusion that can be drawn about the economies of the US and Western Europe?
9.1 Based on the map, which is the best conclusion that can be drawn about the economies of the US and Western Europe?
The US and Western Europe are strong because they have high GDPs.
Do United States is said to have an absolute advantage in producing food compared with Japan What does this mean?
The United States is said to have an absolute advantage in producing food compared with Japan. What does that mean?
It produces food more efficiently than Japan.
What is the most common reason why countries create trade agreements?
What is the most common reason why countries create trade agreements?
have fewer economic restrictions
. With which statement would President Bill Clinton most likely have agreed? Free trade must be carefully monitored.
What is the main role of the US Import Administration?
remedy trade surpluses. create a common market. What is the main role of the US Import Administration? …
Increased production and fair trade would help the economy
.
What is the main goal of the US Import Administration?
The mission of the International Trade Administration (ITA) is
to create prosperity by strengthening the international competitiveness of U.S. industry
, promoting trade and investment, and ensuring fair trade and compliance with trade laws and agreements.
What kind of advantage does a country have if it can make a product more efficiently quizlet?
Absolute advantage
means a country has a monopoly on a certain product or can produce the product more efficiently than any other country.
What does the US have a comparative advantage in?
The United States’ comparative advantage is in
specialized, capital-intensive labor
. American workers produce sophisticated goods or investment opportunities at lower opportunity costs.
What has increased the pace of globalization?
Developments in IT,
transport and communications
have accelerated the pace of globalisation over the past 40 years. The internet has enabled fast and 24/7 global communication, and the use of containerisation has enabled vast quantities of goods and commodities to be shipped across the world at extremely low cost.
What is the benefit in reaching the absolute advantage?
A country chooses to produce bananas instead of wheat. What is the benefit in reaching the absolute advantage in the production of one good? c.
to produce more units of a good while using fewer resources
. You just studied 75 terms!
Why might developed economies want to outsource manufacturing and other jobs to developing economies?
Why might developed economies want to outsource manufacturing and other jobs to developing economies?
Developed economies can find more inexpensive labor in developing economies
.
Why do countries provide financial incentives?
They both set limits on imported goods. Why do countries provide financial incentives?
Financial incentives act as trade barriers
.
What conclusion can be drawn about the US economy as a whole between 2006 and 2009?
What conclusion can be drawn about the US economy as a whole between 2006 and 2009?
It remained level.
What conclusion can be drawn about trade between the United States and China?
Based on the graph, what conclusion can be drawn about trade between the United States and China?
The United States has a trade surplus with China
. China’s economy is declining, which has harmed trade.
What is the purpose of a quota?
The ultimate goal of a quota is
to encourage more products to be made within the home country and import fewer products from other countries
. This encourages domestic production of services that will be used by citizens of that country.
Which statement best describes how globalization is affecting the world?
The correct answer is letter B:
The world is becoming more globalized and connected
. Due to modern means of communication and transportation, the world is unified.
When a country has an absolute advantage?
Absolute advantage refers to the
ability of a country to produce a good more efficiently than other countries
. In other words, a country that has an absolute advantage can produce a good with lower marginal cost (fewer materials, cheaper materials, in less time, with fewer workers, with cheaper workers, etc.).
Which situation is the best example of opportunity cost a country chooses to produce bananas instead of wheat?
If it chooses to produce wheat, then
the country’s revenue from selling bananas is its opportunity cost for selling wheat
. Thus, the company has two alternatives to choose from, which is an example of opportunity cost.
What is the most common reason for a country to establish a tariff Brainly?
What is the most common reason for a country to establish a tariff Brainly?
Governments may impose tariffs to raise revenue or to protect domestic industries—especially nascent ones—from foreign competition
. Governments that use tariffs to benefit particular industries often do so to protect companies and jobs.
What trade agreements are the US in?
The United States has agreements in force with
20 countries
: Australia, Bahrain, Canada, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Israel, Jordan, Mexico, Morocco, Nicaragua, Oman, Panama, Peru, Singapore, and South Korea.
Why do we need trade agreements?
Free trade agreements don’t just reduce and eliminate tariffs, they also help address behind-
the-border barriers
that would otherwise impede the flow of goods and services; encourage investment; and improve the rules affecting such issues as intellectual property, e-commerce and government procurement.
What is the most common reason why countries create trade agreements to limit imports to create free trade to establish quotas?
Countries use quotas in international trade to help regulate the volume of trade between them and other countries. Countries sometimes impose quotas on specific products to reduce imports and increase domestic production. In theory, quotas
boost domestic production by restricting foreign competition
.
What are the benefits of international trade?
- Increased revenues. …
- Decreased competition. …
- Longer product lifespan. …
- Easier cash-flow management. …
- Better risk management. …
- Benefiting from currency exchange. …
- Access to export financing. …
- Disposal of surplus goods.
What is the purpose of the US International Trade Association quizlet?
What is the purpose of the US International Trade Association? The is
designed to help increase US productivity, GDP, and employment
.
Why was the US trade representative created?
The Office of the United States Trade Representative (USTR) was created in 1962
to advise the President on trade issues, lead international trade negotiations, and oversee the resolution of disputes, enforcement actions and other matters before global trade policy organizations
such as the World Trade Organization.
What kind of advantage does a country have if it can make a product more?
A country is also said to have a
comparative advantage
when it makes a product at an opportunity cost that is lesser than producing another good. Thus, a country has a comparative advantage when it produces a good more inexpensively or cheaply.
Why international trade is important?
International trade
allows countries to expand their markets and access goods and services
that otherwise may not have been available domestically. As a result of international trade, the market is more competitive. This ultimately results in more competitive pricing and brings a cheaper product home to the consumer.
What is the US trade representative responsible for?
The Office of the U.S. Trade Representative (USTR) is responsible for
developing and coordinating U.S. international trade, commodity, and direct investment policy
, and overseeing negotiations with other countries.
What kind of advantage does a country have it it can make a product more efficiently?
A country has
an absolute advantage
in those products in which it has a productivity edge over other countries; it takes fewer resources to produce a product. A country has a comparative advantage when a good can be produced at a lower cost in terms of other goods.
Which economic advantage does the United States have compared to other nations?
The correct answer is A): Expansive territory, fertile farmland. The United States is one developed nation, a currency with greater power in the…
When a producer has an absolute advantage at producing a good it means the producer?
When a producer has an absolute advantage at producing a good, it means the producer:
can produce more of that good than others with the same amount of resources
. Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year.
What is meant by absolute advantage?
absolute advantage, economic concept that is used to refer to
a party’s superior production capability
. Specifically, it refers to the ability to produce a certain good or service at lower cost (i.e., more efficiently) than another party.
How can a nation create an absolute advantage through its investment activities?
How can a nation create an absolute advantage through its investment activities?
By developing a specialized skill among workers
, such as producing computers or creating software.
What is America’s absolute advantage?
Production Possibilities and Comparative Advantage
The United States has an
absolute advantage in productivity with regard to both shoes and refrigerators
; that is, it takes fewer workers in the United States than in Mexico to produce both a given number of shoes and a given number of refrigerators.
Does the US seem to have a comparative advantage in goods or services?
While the balance of trade in goods is negative, the United States runs a large surplus in the trade in services, reflecting its
global comparative advantage
in this sector. This surplus reached $242 billion in 2017, offsetting about 25% of the deficit in the trade of goods.
What are the reasons for the new globalization?
- Improved transport, making global travel easier. …
- Containerisation. …
- Improved technology which makes it easier to communicate and share information around the world. …
- Growth of multinational companies with a global presence in many different economies.
How does international trade and global corporations contribute to globalization?
Consumers can buy more goods from the wages they earn, and standards of living should, in theory, increase. International trade demonstrates the extent of globalization with
increased spatial interdependencies between elements of the global economy and their level of integration
.
