International trade and the global economy

Imports are:

A quota is:

The current account of the balance of payments records:

An appreciation of the pound makes UK imports:

Which one of the following is a free trade area?

Which one of the following is a feature of globalisation?

A developing country is likely to have:

The exchange rate is:

Extract F (data are illustrative, written for this paper): A developing country exports coffee and cocoa. World coffee prices have fallen 30% in two years. The country imports most of its machinery and medicines. A multinational company plans to build a chocolate factory there. State two features of a developing economy.

Coffee export revenue was $2 billion. If export volumes stay the same, calculate the revenue after a 30% fall in price.

Explain one problem of relying on exports of primary products.

Explain how the chocolate factory could benefit the country.

Evaluate whether globalisation has benefited developing countries.