Commerce - 4CM1 PearsonEdexcel

Trade

Muhtasari

Every country in the world trades with others, but that trade is rarely completely free. Governments use tariffs, quotas and other restrictions to protect domestic industries, shape their economies and respond to political pressures. Understanding why and how they do this is central to commerce.

In this lesson you will explore the main methods of trade protection, weigh up the arguments for and against restricting imports, and learn how exchange rates are determined and calculated. You will see how a rising or falling currency changes the cost of imports and exports, and why exchange rate movements matter to every business involved in international trade.

Malengo

Understand trade protection: tariffs, quotas and trade restrictions, and their impact
Understand exchange rates: foreign exchange markets, calculation of exchange rates, exchange rate changes, impact of appreciation and depreciation of currency on international trade

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Maelezo ya Somo

When a government fears that cheap imports will undercut its own producers, it reaches for trade protection. The tools vary, but the goal is the same: to make foreign goods more expensive or harder to obtain so that domestic businesses can compete. Trade protection is one of the oldest economic debates, and it appears regularly on the Edexcel Commerce paper.

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Tathmini ya Somo

Hongera kwa kukamilisha somo la Trade. Sasa kwa kuwa umechunguza dhana na mawazo muhimu, ni wakati wa kuweka ujuzi wako kwa mtihani. Sehemu hii inatoa mazoezi mbalimbali maswali yaliyoundwa ili kuimarisha uelewaji wako na kukusaidia kupima ufahamu wako wa nyenzo.

Utakutana na mchanganyiko wa aina mbalimbali za maswali, ikiwemo maswali ya kuchagua jibu sahihi, maswali ya majibu mafupi, na maswali ya insha. Kila swali limebuniwa kwa umakini ili kupima vipengele tofauti vya maarifa yako na ujuzi wa kufikiri kwa makini.

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Which of the following is a method of trade protection? A) Advertising B) Tariff C) Exchange rate D) Dividend Answer: B
A quota limits: A) The price of exports B) The quantity of imports C) The exchange rate D) The rate of inflation Answer: B
If the exchange rate changes from 1 GBP = 1.50 USD to 1 GBP = 1.80 USD, the pound has: A) Depreciated B) Appreciated C) Stayed the same D) Been devalued by the government Answer: B
When a currency depreciates, what happens to the price of that country's exports for foreign buyers? A) They become more expensive B) They become cheaper C) They stay the same D) They are no longer available Answer: B
Which argument supports the use of tariffs to protect a new industry? A) It keeps prices low for consumers B) It gives infant industries time to grow C) It increases the range of imports available D) It reduces government revenue Answer: B

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Vitabu Vinavyopendekezwa

Pearson Edexcel International GCSE (9-1) Commerce Student Book

Manukuu: First edition

Mchapishaji: Pearson Education

Mwaka: 2018

ISBN: 978-0-435-18866-9

Maelezo: Endorsed student book covering the full 4CM1 specification with case studies and exam guidance.

Jifunze zaidi kutoka vyanzo huria

Sehemu ya kitabu Barriers to Trade OpenStax · Introduction to Business
What are the barriers to international trade?

"Introduction to Business: Barriers to Trade" by OpenStax, OpenStax, Rice University, licensed under CC BY 4.0 (https://creativecommons.org/licenses/by/4.0/). Source: https://openstax.org/books/introduction-business/pages/3-3-barriers-to-trade. Access for free at https://openstax.org/books/introduction-business/pages/1-introduction
Sehemu ya kitabu Global Trade in the United States OpenStax · Introduction to Business
Why is global trade important to the United States, and how is it measured?

"Introduction to Business: Global Trade in the United States" by OpenStax, OpenStax, Rice University, licensed under CC BY 4.0 (https://creativecommons.org/licenses/by/4.0/). Source: https://openstax.org/books/introduction-business/pages/3-1-global-trade-in-the-united-states. Access for free at https://openstax.org/books/introduction-business/pages/1-introduction

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