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International Trade Test
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International Trade Test
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5 Questions

1. The United States produces rice in a competitive market. With free trade, the world price is lower than the domestic price. What must be true?
2. If the U.S. dollar and Chinese yuan are traded in flexible currency markets, which of the following causes an appreciation of the dollar relative to the Chinese yuan?
3. When the United States places an import quota on imported sugar, we expect which of the following effects?
4. Which of the following is a consequence of a protective tariff on imported steel?
5. You hear that the United States has a negative balance in the current account. With this information we conclude that

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