POLS 121 FINAL EXAM NEWEST 2025
ACTUAL EXAM COMPLETE ALL 300
QUESTIONS AND CORRECT DETAILED
ANSWERS
, What is production? - ANSWERrefers to the process of creating goods and services
with market value
Why do states use tariffs? - ANSWERto raise revenue for the government, to restrict
imports and protect domestic producers from foreign competition, and to reach
reciprocity agreements that reduce trade barriers
What are the perks associated with free trade? - ANSWERIt benefits individuals by
creating lower prices and higher incomes.
It does not destroy jobs (or create them).
Agricultural subsidies are hypocritical and benefit special interests, not family farmers.
Bilateral and regional trade agreements complement global trade.
A voluntary free trade association (e.g. GFTA) would positively incentivize liberalization
(the "carrot" to the WTO's "stick").
What is consumption? - ANSWERrefers to the selection, adoption, use, disposal, and
recycling of goods and services
What is GDP - ANSWERis the total market value of all the goods and services
produced within the borders of a state during a given period.
What are exports? - ANSWERgoods and services that a a country sells (officially) on
the international market.
What are Imports? - ANSWERgoods and services that a country brings in from the
outside
What is the balance of trade? - ANSWERis the difference between exports and imports.
What is globilization? - ANSWERThe multifaceted process where, by an increasing
percentage, economic (and other) activity is carried out across national borders.
What is free trade? - ANSWERrefers to the exchange of goods and services between
states without imposed barriers like tariffs or other restrictions.
What are Tariffs? - ANSWERare fees (like taxes) placed on certain imported goods or
services, which make them more expensive.
What are the drawbacks of free trade? - ANSWERFree trade agreements demand
compliance and threaten state sovereignty.
It undermines important safety concerns seen as "barriers to trade".
Free trade is not fair trade (strong states benefit more than weaker ones).
ACTUAL EXAM COMPLETE ALL 300
QUESTIONS AND CORRECT DETAILED
ANSWERS
, What is production? - ANSWERrefers to the process of creating goods and services
with market value
Why do states use tariffs? - ANSWERto raise revenue for the government, to restrict
imports and protect domestic producers from foreign competition, and to reach
reciprocity agreements that reduce trade barriers
What are the perks associated with free trade? - ANSWERIt benefits individuals by
creating lower prices and higher incomes.
It does not destroy jobs (or create them).
Agricultural subsidies are hypocritical and benefit special interests, not family farmers.
Bilateral and regional trade agreements complement global trade.
A voluntary free trade association (e.g. GFTA) would positively incentivize liberalization
(the "carrot" to the WTO's "stick").
What is consumption? - ANSWERrefers to the selection, adoption, use, disposal, and
recycling of goods and services
What is GDP - ANSWERis the total market value of all the goods and services
produced within the borders of a state during a given period.
What are exports? - ANSWERgoods and services that a a country sells (officially) on
the international market.
What are Imports? - ANSWERgoods and services that a country brings in from the
outside
What is the balance of trade? - ANSWERis the difference between exports and imports.
What is globilization? - ANSWERThe multifaceted process where, by an increasing
percentage, economic (and other) activity is carried out across national borders.
What is free trade? - ANSWERrefers to the exchange of goods and services between
states without imposed barriers like tariffs or other restrictions.
What are Tariffs? - ANSWERare fees (like taxes) placed on certain imported goods or
services, which make them more expensive.
What are the drawbacks of free trade? - ANSWERFree trade agreements demand
compliance and threaten state sovereignty.
It undermines important safety concerns seen as "barriers to trade".
Free trade is not fair trade (strong states benefit more than weaker ones).
