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Carr's 6th Grade Class
Test Description: #3
Instructions: Answer all questions to get your test result.
1) Which type of trade barrier involves adding a special tax onto goods brought into the country?
A
tariff
B
quota
C
voluntary exchange
D
embargo
2) In order to help US car companies sell more cars, some people want to put a limit on the number of cars that can be imported from other countries. This is an example of
A
quota
B
volunary exchange
C
embargo
D
tariff
3) The main purpose of NAFTA was to
A
keep people in one country from buying goods from the other two countries.
B
decrease the SOL for some people while raising it for others
C
create tariffs between Canada, Mexico and the US.
D
increase trade by creating a large free trade zone
4) What is the money people use in a country called?
A
voluntary
B
currency
C
trade
D
exchange
5) What is one reason for people to exchange currency?
A
to buy and sell goods and services with other countries
B
because different countries have different currencies
C
most people want to use American dollars for trade
D
to make more money by trading currency
6) What is an example of investment in human capital?
A
education
B
factories
C
trucks
D
highways
7) What is MOST likely to be in a country with a high literacy rate?
A
low standard of living
B
too much investments in capital resources
C
high standard of living
D
little investment in human capital
8) Which is activity is an example of investing in capital goods by a company?
A
training workers to do their jobs better
B
constructing a new factory
C
throwing away old delivery trucks
D
giving workers more time off to rest
9) Which item is an example of a natural resource?
A
automobiles
B
education
C
natural gas
D
furnaces
10) What are entrepreneurs?
A
businesses that are organized to be successful
B
people who start their own businesses
C
people who own farms and businesses that do not want to make a profit
D
businesses owned by the governments
*select an answer for all questions
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