Lesson 2.1.3b

2.1.3b Barriers to international trade: tariffs and trade blocs Quiz: Pearson Edexcel Business, Unit 6

20 questions

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Lesson 2.1.3b, Barriers to international trade: tariffs and trade blocs: 20 multiple choice questions for the Pearson Edexcel GCSE Business (1BS0), Unit 6: Growing the business, written with Revision Ninja.

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The 20 questions

  1. What term describes a tax placed on imported goods?

    • An embargo
    • A subsidy
    • A quota
    • A tariff
  2. What is the main effect of an import tariff on foreign goods?

    • It quickens delivery
    • It improves quality
    • It lowers price
    • It raises price
  3. What term describes a group of countries agreeing to trade more easily?

    • A trade bloc
    • A conglomerate
    • A monopoly
    • A cartel
  4. Which of these is a well-known example of a trade bloc?

    • G7 Summit
    • European Union
    • World Bank
    • United Nations
  5. Why might a government choose to impose a tariff on imports?

    • To lower local prices
    • To increase poverty
    • To stop all trade
    • To protect domestic firms
  6. What is a likely consumer effect of a tariff on imported products?

    • Better choice
    • Free shipping
    • Higher prices
    • Faster delivery
  7. What is a key benefit for a business joining a trade bloc?

    • Higher tax rates
    • Stricter quotas
    • Fewer tariffs
    • More paperwork
  8. An imported bicycle costs £200. A 15% tariff is added to its price. What is the new price before other costs?

    • £230
    • £215
    • £300
    • £185
  9. A UK firm imports goods from a country with a 20% tariff. The goods are worth £500. What is the tariff amount?

    • £25
    • £100
    • £520
    • £20
  10. A government removes a 10% tariff on a product worth £80 before tariff. What is the change in the price paid for it?

    • A fall of £0.80
    • A fall of £80
    • A rise of £8
    • A fall of £8
  11. Why might a firm face a tariff in one overseas market but not another?

    • Bloc membership
    • Advertising spend
    • Company size
    • Product colour
  12. Which situation encourages a firm to export to a bloc member country?

    • Removed tariffs
    • Higher quotas
    • New regulations
    • Strict borders
  13. How does a tariff help a domestic firm struggling with cheap imports?

    • Increases rent costs
    • Bans foreign travel
    • Makes imports dearer
    • Lowers local wages
  14. A UK business imports goods from a non-bloc country where a 12% tariff applies to £2,500 of goods. What is the duty owed?

    • £300
    • £30
    • £2,812
    • £208
  15. What is the likely effect on retail costs if import tariffs rise?

    • Costs rise
    • No impact
    • Costs fall
    • Profits double
  16. What is the likely result when trade bloc members remove internal tariffs?

    • Higher shipping fees
    • Slower trade
    • Fewer buyers
    • Cheaper exports
  17. What is the main purpose of tariffs protecting an infant industry?

    • Time to grow
    • Permanent support
    • Guaranteed profits
    • Zero taxation
  18. What is the main drawback of import tariffs for domestic consumers?

    • Lower quality
    • Fewer workers
    • Higher prices
    • Faster delivery
  19. Which strategy best helps a business affected by a foreign import tariff?

    • Lower wages
    • Borrow money
    • Stop exporting
    • Diversify markets
  20. A product costs £60 before a 20% tariff is applied. What is its price after the tariff?

    • £63
    • £80
    • £72
    • £12

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