Concepts you should be able to explain for the exam:

Comparative advantage

Tariffs

Quotas

 

Social trade restrictions

 

Regional trade agreements

 

NAFTA

 

European Union

 

Common currency

 

Balance of payments

 

Foreign exchange market

 

Exchange rates

 

Currency speculation

 

Things you should be able to do for the exam.

 

Explain why nations restrict trade and what are the different strategies they can use.

 

Discuss how exchange rates are determined

 

Discuss the differences of the impact of exchange rates on small countries and large countries

 

Discuss, in depth, the characteristics of international trade of a particular country.