6.4.2 Trade and Economic Partnerships

• Trade can be divided into two types: domestic trade and international
• Regional Trade Agreements (RTAs) focus on specific geographic areas.
• What does ChAFTA stand for?

  China-Australia Free Trade Agreement
• What is an example of domestic trade?

  Buying groceries locally
• Trade and economic partnerships lead to increased efficiency and economic growth.


  True
• How do trade partnerships stimulate economic growth?

  Higher productivity and trade volumes
• What type of power do larger economies often have in trade negotiations with smaller economies?

  Unequal bargaining power
• What is the primary purpose of trade?

  Exchange of goods, services, or money
• What is an example of a Regional Trade Agreement (RTA)?

  ASEAN
• What does a Regional Trade Agreement (RTA) focus on within a specific geographic region?

  Reducing trade barriers
• What is one benefit of trade and economic partnerships?

  Increased efficiency
• What is the Chinese term for trade?

  贸易 (mào yì)
• What is an example of a Regional Trade Agreement?

  ASEAN
• The World Trade Organization (WTO) is an example of a multilateral trade agreement.
• International trade involves trade between different countries.
• Protectionism involves implementing tariffs, quotas, or other trade barriers.
• Protectionism involves the use of tariffs, quotas, or other trade barriers
• Match the type of trade with its description:

  Domestic Trade ↔️ Exchange within a country's borders

  International Trade ↔️ Exchange between different countries
• A Bilateral Trade Agreement (BTA) involves two countries only.


  True
• The China-Australia Free Trade Agreement (ChAFTA) is an example of a Bilateral Trade Agreement (BTA).


  True
• Steps leading to economic growth from trade and partnerships

  1️⃣ Specialization and comparative advantage

  2️⃣ Innovation through competition

  3️⃣ Higher productivity and trade volumes

  4️⃣ Foreign investment and job creation

  5️⃣ Improved living standards
• The China-Australia Free Trade Agreement (ChAFTA) reduced tariffs and opened markets for both countries.

  True
• What does the International Monetary Fund (IMF) do?

  Stabilizes economies and supports trade
• Increased trade, economic growth, and improved efficiency are key benefits of successful trade partnerships.

  True
• Match the type of economic partnership with its example:

  Regional Trade Agreement (RTA) ↔️ ASEAN

  Bilateral Trade Agreement (BTA) ↔️ China-Australia FTA

  Multilateral Trade Agreement (MTA) ↔️ World Trade Organization (WTO)
• Economic growth from trade partnerships stimulates GDP growth and job creation
• Countries implement tariffs, quotas, or other trade barriers to protect their domestic industries
• Trade disputes can disrupt economic cooperation between countries.


  True
• What role do international organizations play in facilitating trade partnerships?

  Setting standards
• The IMF provides loans and economic advice to stabilize the global economy
• ChAFTA has led to economic growth and improved efficiency for China and Australia.


  True
• NAFTA 1.0 led to job losses in the United States due to unequal benefits.


  True
• Future trade and economic partnerships will require businesses and policymakers to adapt to new challenges.


  True
• Economic partnerships are agreements between countries to facilitate trade and economic cooperation.


  True
• Match the type of economic partnership with its description:

  Regional Trade Agreements (RTAs) ↔️ Agreements focused on a specific geographic region

  Bilateral Trade Agreements (BTAs) ↔️ Agreements between two countries

  Multilateral Trade Agreements (MTAs) ↔️ Agreements among multiple countries
• RTAs, BTAs, and MTAs differ in their scope and the number of countries involved.


  True
• Match the type of economic partnership with its Chinese term:

  Regional Trade Agreements (RTAs) ↔️ 区域贸易协定 (qū yù mào yì xié dìng)

  Bilateral Trade Agreements (BTAs) ↔️ 双边贸易协定 (shuāng biān mào yì xié dìng)

  Multilateral Trade Agreements (MTAs) ↔️ 多边贸易协定 (duō biān mào yì xié dìng)
• Increased efficiency in trade is driven by specialization and comparative advantage.
• Larger economies often have more leverage in trade negotiations with smaller economies.


  True
• Trade disputes can arise over intellectual property rights or unfair trade practices.


  True