GEB 3017 UF EXAMINATION TEST 2026
FULL SOLUTION VIEW AHEAD QUESTIONS
AND ANSWERS
◉Developing an industrial base assumptions. Answer: - use surplus
agricultural workers more easily
- brings in investment funds
- diversifies the economy
- brings faster growth than primary products do
◉industrialization argument. Answer: although a country may
develop an inefficient and non-globally competitive industrial sector,
it will achieve economic growth by protecting the industrial sector
so that the unemployed and underemployed people can work in an
industry
◉terms of trade. Answer: quantity of imports that a given quantity
of a country's exports can buy
◉import substitution. Answer: restricting imports to boost local
production of products they would otherwise import
,◉export-led development. Answer: encourages the development of
industries with export potential
◉Balance of trade adjustments. Answer: 1. depreciate/devalue its
currency to make everything cheaper than foreign products
2. rely on fiscal and monetary policy to bring about lower price
increases
◉comparable access argument. Answer: holds that industries are
entitled to the same access to foreign markets as foreign industries
have to their market
◉dumping. Answer: exporting below cost or below home-country
price
◉optimum-tariff theory. Answer: foreign producer lowers its export
prices when an importing country places a tax on its products
◉essential industry argument. Answer: government applies
restrictions to protect essential domestic industries during
peacetime so that the country is not dependent on foreign sources of
supply during war
◉tariff. Answer: tax levied on a good shipped internationally
, ◉export tariffs. Answer: levied by the country of origin on exported
goods
◉transit tariff. Answer: levied by a country through which goods
pass en route to their final destination
◉import tariffs. Answer: levied by the country of destination on
imported goods
◉specific duty. Answer: tariff assessed on a per unit basis
◉ad valorem tariff. Answer: assessed as a percentage of the value of
an item
◉compound duty. Answer: when both a specific duty an an ad
valorem tariff are assessed on the same product
◉effective tariff. Answer: value-added portion of a tariff
◉subsidies. Answer: direct or indirect financial assistance from
governments to their domestic firms to help them overcome market
imperfections and thus make them more competitive in the
marketplace
FULL SOLUTION VIEW AHEAD QUESTIONS
AND ANSWERS
◉Developing an industrial base assumptions. Answer: - use surplus
agricultural workers more easily
- brings in investment funds
- diversifies the economy
- brings faster growth than primary products do
◉industrialization argument. Answer: although a country may
develop an inefficient and non-globally competitive industrial sector,
it will achieve economic growth by protecting the industrial sector
so that the unemployed and underemployed people can work in an
industry
◉terms of trade. Answer: quantity of imports that a given quantity
of a country's exports can buy
◉import substitution. Answer: restricting imports to boost local
production of products they would otherwise import
,◉export-led development. Answer: encourages the development of
industries with export potential
◉Balance of trade adjustments. Answer: 1. depreciate/devalue its
currency to make everything cheaper than foreign products
2. rely on fiscal and monetary policy to bring about lower price
increases
◉comparable access argument. Answer: holds that industries are
entitled to the same access to foreign markets as foreign industries
have to their market
◉dumping. Answer: exporting below cost or below home-country
price
◉optimum-tariff theory. Answer: foreign producer lowers its export
prices when an importing country places a tax on its products
◉essential industry argument. Answer: government applies
restrictions to protect essential domestic industries during
peacetime so that the country is not dependent on foreign sources of
supply during war
◉tariff. Answer: tax levied on a good shipped internationally
, ◉export tariffs. Answer: levied by the country of origin on exported
goods
◉transit tariff. Answer: levied by a country through which goods
pass en route to their final destination
◉import tariffs. Answer: levied by the country of destination on
imported goods
◉specific duty. Answer: tariff assessed on a per unit basis
◉ad valorem tariff. Answer: assessed as a percentage of the value of
an item
◉compound duty. Answer: when both a specific duty an an ad
valorem tariff are assessed on the same product
◉effective tariff. Answer: value-added portion of a tariff
◉subsidies. Answer: direct or indirect financial assistance from
governments to their domestic firms to help them overcome market
imperfections and thus make them more competitive in the
marketplace
