Chapter 16 International Trade Name: ( )1. The buying and selling of goods and services among different countries is ( ) trade.2. A good or service bought in the US but produced in another country is a US ( ).3. A good or service produced in the US and sold in another country is aUS ( ).4. Exports and imports as percentages of US GDP generally ( ) over the last few decades.5. The majority of US trade is with ( ) nations in North America, Europe and Asia. 6. The most important trading partners of the US are ( ), ( ) and the countries that make up the ( ) ( ).7. Focusing individual resources on a small range of tasks to improve output is called ( ).8. For this to work, it is necessary to have a ( ) where individuals can exchange what they ( ) for goods they ( ).9. When an area or country can produce goods more cheaply or efficiently it has a lower ( ) cost.10.Countries with this lower cost are considered to have a ( ) ( ) in the production of these goods or services.11.A specific example that illustrates this would be ( ) (good) from ( )(country).12.That is, if Brazil can produce one pound of coffee by giving up less wheat production than Argentina, Brazil has a ( ) ( ) in the production of coffee.13.To receive the full benefits from production according to comparativeadvantage, there must be ( ) ( ) among nations.14.The philosophy that free trade is not in the best interest of a nation and that trade should be restricted is ( ). There are several trade restricting policies.a. A tax on an import is a ( ).b. A limit on the quantity of a good that can enter a country is a ( ).c. An outright ban on trade in a particular product with another nationis an ( ).15.From most severe to least severe, these restrictions would be ( ), ( ), then ( ).16.Arguments in favor of free trade:a. allows greater ( )b. provides ( ) selection of goods and servicesc. keeps ( ) lower.17.Arguments for protectionism:a. shelters ( ) from foreign competitionb. increases domestic ( ) and ( ) by limiting competition.c. allows ( ) which reduces dependence on foreigners.d. this may be important for national ( ).18.France gave its wine producers money for each bottle of wine exported. This money is called a ( ).19.Fuji was accused of selling its film in the US at a price below its cost, and at a cost below its price in Japan. This practice is called ( ).20.( ) is a group that has worked on tariff reductions.21.In a trading bloc like the European Union, there are no ( ) between members.22.( ) is the name of the trading bloc that includes the