International trade：练习题

Which of the following is an example of an invisible export for a country?

If the value of a country's currency depreciates against its trading partners, which of the following is the most likely outcome for that country's trade?

Which of the following best describes a common external tariff as applied by a trading bloc?

Explain the difference between visible trade and invisible trade, providing one specific example for each category.

Explain the function of a common external tariff within a trading bloc and analyze its impact on trade with countries outside of that bloc.

Analyze how the implementation of a common external tariff (CET) by a trading bloc affects the competitiveness of a manufacturer located in a non-member country attempting to export goods to that bloc.

A Multinational Corporation (MNC) is planning to set up a new manufacturing plant in a developing country. This move has sparked debate among local government officials regarding its impact on the economy.

(a) State two reasons why a company might choose to operate as an MNC. (2)
(b) Evaluate two potential advantages and two potential disadvantages for the host country where the MNC decides to locate its factory. (4)