Trade, Globalisation & Development Aid is one of 9 topics in the Grade 11 Geography CAPS syllabus, covered across 3 lessons on Study Vault. Below are real practice questions from this topic with full worked answers.
Sample practice questions
Easy
1. International trade refers to:
The exchange of goods and services between countries
Trade that only ever occurs within a single country's borders
A process that has no connection to a country's development
Trade in physical goods only, never services
Answer: The exchange of goods and services between countries — International trade is the exchange of goods and services between countries, a central mechanism through which countries participate in and are affected by the global economy.
Easy
2. Improving terms of trade for a country means that:
The prices it receives for its exports have risen relative to the prices it must pay for its imports
The country has stopped trading with all other countries entirely
Its export prices have fallen relative to its import prices
Terms of trade have no relationship to export or import prices
Answer: The prices it receives for its exports have risen relative to the prices it must pay for its imports — Improving terms of trade means the prices a country receives for its exports have risen relative to the prices it must pay for its imports, allowing it to purchase more imports for the same quantity of exports.
Medium
3. What term describes a group of countries that agree to reduce trade barriers, such as tariffs, between member states?
Answer: A trading bloc — A trading bloc (or regional trade agreement) is a group of countries that agree to reduce trade barriers such as tariffs between member states, expanding the effective market available to member producers.
