International trade and globalisation quiz (Singapore O-Level Economics 2286) quiz

Because trade is required by law

Because self-sufficiency is always cheaper

Because all countries have identical resources

Because specialising in what they produce relatively best and trading raises total output, lowers prices and widens choice

Increased dependence on other countries, which can be exposed by supply disruptions

Lower prices for consumers

A wider variety of goods

Higher total world output

A physical limit on the quantity of imports

A tax on imported goods that raises their price

A subsidy to foreign producers

A ban on all imports

Taxing each imported unit

Subsidising domestic firms

Setting a physical limit on the quantity of a good that may be imported

Lowering the exchange rate

It lowers prices for consumers

It guarantees free trade

It increases efficiency through competition

It can protect infant industries until they are able to compete

Higher prices for consumers, reduced efficiency, and the risk of retaliation

Lower prices and more choice for consumers

Faster growth in world trade

Greater specialisation between countries

The government's budget balance

The difference between the value of a country's exports and its imports

The total money in a country's banks

The exchange rate of the currency

Exports exceed imports

Exports equal imports

Imports exceed exports

It has no trade at all

Exports become cheaper abroad and imports dearer at home

Exports become dearer abroad and imports cheaper at home

Exports and imports are unaffected

Trade balance always improves

Worsen the trade balance

Have no effect on exports

Lower imported inflation

Improve the trade balance by making exports cheaper abroad and imports dearer at home

The growing economic integration and interdependence of countries through trade, investment, migration and technology

A government policy to ban imports

The use of only domestic resources

A fixed exchange rate system

Higher transport costs

Cheaper transport, improved communications technology and the growth of multinational companies

More trade barriers

Less foreign investment

Consumers who gain cheaper imports

Multinational firms expanding abroad

Workers in domestic industries that cannot compete with cheaper foreign producers

Exporters gaining new markets

Because Singapore is large and resource-rich

Because Singapore bans most imports

Because Singapore practises self-sufficiency

Because Singapore is small and resource-scarce, so it must import many goods and rely on exports for growth