Advantages and Disadvantages of Trade (Grade 11 NSC Matric Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
Why do countries obtain products through trade rather than producing them domestically?
Why do countries obtain products through trade rather than producing them domestically?
Due to climate, resources, or tech limits
What does specialisation allow countries to do in international trade?
What does specialisation allow countries to do in international trade?
Focus on producing goods where they excel
What defines a country having an absolute advantage in production?
What defines a country having an absolute advantage in production?
Producing with fewer resources & lower cost
Why do developed countries typically have an absolute advantage in manufacturing?
Why do developed countries typically have an absolute advantage in manufacturing?
More capital & highly-skilled workers
Can a country benefit from trade even with higher production costs than trading partners?
Can a country benefit from trade even with higher production costs than trading partners?
Yes, through comparative advantage focus
How does trade promote economic growth according to the growth cycle described?
How does trade promote economic growth according to the growth cycle described?
Attracts foreign investment for govt revenue
What employment and income benefit results from increased international trade?
What employment and income benefit results from increased international trade?
Higher per capita income across population
What is a key problem with growth from international trade?
What is a key problem with growth from international trade?
Benefits not distributed fairly to poorest
What is the reality of free trade in the global economy?
What is the reality of free trade in the global economy?
Free trade never became a reality
How does capital movement particularly affect developing countries?
How does capital movement particularly affect developing countries?
Causes instability when investors withdraw