Resources and Trade — Answer Key
Part A: Multiple Choice
Circle the best answer for each question.
1. What is a tariff?
A) A type of natural resource
B) A tax on goods imported from another country
C) A list of goods a country exports
D) A trade agreement between two countries
The correct answer is B) A tax on goods imported from another country. What is a tariff — the answer is A tax on goods imported from another country.
2. Why do some countries specialize in producing certain goods?
A) They want to make their neighbors jealous
B) They can produce those goods more cheaply or efficiently
C) They do not like making other products
D) The government forces them to make only one thing
The correct answer is B) They can produce those goods more cheaply or efficiently. Why do some countries specialize in producing certain goods — the answer is They can produce those goods more cheaply or efficiently.
3. How does trade benefit both the buying country and the selling country?
A) Only the seller benefits from trade
B) The buyer gets goods it needs and the seller earns money
C) Trade only helps rich countries
D) Neither country benefits because they lose resources
The correct answer is B) The buyer gets goods it needs and the seller earns money. How does trade benefit both the buying country and the selling country — the answer is The buyer gets goods it needs and the seller earns money.
4. Which situation shows a country using its natural resources wisely?
A) Cutting down all the forests at once for quick profit
B) Replanting trees after logging and rotating harvest areas
C) Dumping mining waste into rivers
D) Using only nonrenewable energy sources
The correct answer is B) Replanting trees after logging and rotating harvest areas. Which situation shows a country using its natural resources wisely — the answer is Replanting trees after logging and rotating harvest areas.
Part B: Fill in the Blank
Write the correct answer on each line.
1. When a country focuses on making the goods it produces best, it is called specialization.
Specialization means a country focuses on producing what it does best and most efficiently, then trades with other countries for the rest.
2. A tariff makes imported goods more expensive so people buy local products instead.
A tariff adds extra cost to imported goods, making them pricier than local products. Governments use tariffs to protect their own country's businesses from cheaper foreign competition.
3. Countries with warm climates often export fruits and vegetables to colder countries.
Warm-climate countries can grow fruits and vegetables year-round, so they have extra to export. Colder countries import these foods because their growing seasons are too short.
4. Free trade means countries can buy and sell goods without high tariffs or barriers.
Free trade removes high tariffs and other barriers so goods can flow between countries more easily. Without tariffs, imported products stay affordable for consumers.
5. Water power used to generate electricity is a renewable energy source.
Water power is renewable because the water cycle keeps replenishing rivers and streams. Unlike coal or oil, flowing water does not get used up when it spins a turbine.