At this point, potential gains from further tariff reductions worldwide are :

At this point, potential gains from further tariff reductions worldwide are

A) still very large.
B) equal to zero.
C) relatively small.
D) not worth the cost of negotiations.

Question 2 - Suppose that the U.S. Open ticket costs 100 and the British Open ticket costs 50 and the exchange rate is 1.43. How much does the British Open ticket cost for an American attending the British Open?

What will be an ideal response?

Question 3 - One of the most important and most visible roles of the IMF is to

A) hold regular negotiations over tariff reductions.
B) investigate countries that are charged with being unfair traders.
C) provide loans to countries that need capital to develop their economies.
D) intercede by invitation when countries cannot pay their international debts.

Question 4 - Developed countries have lost comparative advantage in

A) high-tech industries.
B) labor-intensive industries.
C) capital-intensive industries.
D) agricultural industries.

Question 5 - Would each of the following groups be happy or unhappy if the Mexican peso appreciates against the U.S. dollar? Answer the question for each of the following: (a) The U.S. pension funds holding Mexican government bonds (b) U.S. tourists planning a trip to Mexico (c) Mexican exporting manufacturers (d) A Mexican firm trying to buy properties overseas

What will be an ideal response?

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At this point, potential gains from further tariff reductions worldwide are :

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