PART I: CURRENT EVENT ANALYSIS

Directions: Utilize LIRN and other sources of information (articles, internet sources, etc.) to find one current event article or news story related to any concept presented in this module. Summarize the article's main points/concepts and discuss how the it using APA format. Length should be a minimum of one page, double-spaced. Provide links to the articles (or scan and upload a printed article). Please use proper APA citation when using any source including the textbook. Please visit the Academic Resource Center (ARC) for concise APA guidelines.

PART II: SHORT ANSWER

1. What arguments are used to justify government intervention in foreign trade? What tools are used to restrict trade?

2. Why do governments impose tariffs? Name five goods that the United States imposes tariffs on.

3. What is a foreign trade zone? Why are FTZs formed? Name and describe five Foreign Trade Zones.

4. Foreign firms often claim that product and testing standards discriminate against their products. Give three examples of barriers that could be discriminatory against foreign products.

5. What is the infant industry argument? How did Japan use the infant industry argument to rebuild its economic strength following World War II? What tools did it use?

6. What is the difference between an ad valorem tariff, specific tariff, and compound tariff? What is a countervailing duty and its purpose?

7. Why did Japanese auto makers accept the voluntary export restraint program that limited the number of cars that could be exported to the United States in the early 1980s? What role has domestic politics played in Toyota's U.S. strategy?

8. Explain the effects of the tariff rate quota on the sugar industry in the United States.

9. How does the United States handle complaints of unfair trade? Explain two instances of accusations of Fair Trade complaints against the U.S. in the last ten years. Utilize LIRN Resources or other research tools. Be sure to cite your sources.

10. What is the most-favored-nation principle? What are the two exceptions to the most-favored-nation principle? Why was MFN status changed to normal trade relations (NTR) status?

11. What is the difference between an economic union and a political union? Which one characterizes the EU? Why?

12. What is a free trade area? Provide an example of a free trade area. Utilize the LIRN resources and other sources of information (articles, internet sources, etc.) and discuss arguments for and against free trade areas. What's your opinion? Be sure to cite your sources and support your answers.

13. The four organizations that govern the EU are: The Council of the European Union, the European Commission, the European Parliament, and the European Court of Justice. What functions are performed by the European Commission? What is the purpose of the European Parliament?

14. What is the purpose of the cohesion fund in the European Union? Do you think the cohesion fund is appropriate and effective? Why or why not?

15. Why do France and the United Kingdom disagree over the EU's Common Agricultural Policy?

16. What are the three primary goals of the World Trade Organization? Do you believe the WTO has been successful? Why or why not?

17. Explain the five forms of economic integration and provide an example of each.

18. How does the WTO differ from the GATT?

19. What is the greatest challenge of the European Union?

PART III: SHORT ESSAY

Step 1: In a 1-page essay, explain what are the two different forms of dumping? What factors should be considered when determining whether or not dumping has occurred?

Step 2: Utilize LIRN and other sources of information (articles, internet sources, etc.) and describe two examples of dumping (or accused dumping) that have occurred in the last ten years. Be sure to cite your sources. Please visit the Academic Resource Center (ARC) for concise APA guidelines.