Question: Importing

Answer: buying products from another country

Question: Exporting

Answer: the selling of products to another country

Question: Who is the largest importer in the global market today?

Answer: The United States

Question: In volume of exports, the three leading nations are

Answer: The United States, Germany, and China

Question: The world market is approximately

Answer: 7 billion potential customers

Question: Which of the following continents is home to the largest percentage of the world’s population?

Answer: Asia

Question: A nation has a ___________ in the production of a good or service if it can produce that good or service more effectively or efficiently than it can produce other goods.

Answer: comparative advantage

Question: __________ occurs when a country has a monopoly on producing a product or is able to produce it at a cost well below that of all other countries.

Answer: Absolute advantage

Question: The theory of comparative advantage exists because:

Answer: no nation can produce all the products its people want and need.

Question: The concept of free trade means:

Answer: goods and services can be traded freely across borders without political and/or economic barriers.