International Business Law and Its Environment 8th Edition by Richard Schaffer – Test Bank

International Business Law and Its Environment 8th Edition by Richard Schaffer – Test Bank

CHAPTER 8—NATIONAL LAWMAKING POWERS AND THE REGULATION OF U.S. TRADE

TRUE/FALSE

1. Throughout history, U.S. presidents have utilized executive agreements to conduct foreign affairs even though these agreements are not specifically provided for in the Constitution.

ANS: T PTS: 1

2. Under the Reciprocal Trade Agreements Program, if the U.S. were to lower an existing tariff on an imported product from Country A, Country A need not lower the tariff on that same product imported from the U.S. but must lower tariffs on some product imported from the U.S.

ANS: F PTS: 1

3. The unconditional most favored nation policy provides that a lower tariff rate negotiated with one nation automatically grants lower tariff rates to like products imported from all nations that stand in most favored nation status with the U.S.

ANS: T PTS: 1

4. The Omnibus Act gives the president special authority to try and reduce barriers for American multinational firms operating in the telecommunications industry.

ANS: T PTS: 1

5. The Omnibus Act provides a fast-track procedure for approving trade agreements whereby the president can declare the agreement to be law.

ANS: F PTS: 1

6. The Trade Act of 1974 and Omnibus Act give the president broad powers to deal with a range of complex international economic problems.

ANS: T PTS: 1

7. The Trading with the Enemy Act was passed for the purposes of allowing the U.S. to sell arms to friendly nations.

ANS: F PTS: 1

8. International trade law is public international law that regulates trade.

ANS: T PTS: 1

9. Trade law has been used in the U.S. to further not only U.S. economic policy but also U.S. foreign policy.

ANS: T PTS: 1

10. The main objective of U.S. trade law has been solely to discourage trade with unfriendly nations.

ANS: F PTS: 1