ADDITIONAL EXERCISES

CHAPTER
International
16 Economics

1 Explain, with examples, the pros and cons for a country participating in international trade.
2 What are the different types of trade barriers? Explain why governments implement such
barriers.
3 How might a slowdown in Malaysia’s economic rate of growth affect the balance of payment?
4 Explain the advantages and disadvantages of actions taken by the government to reduce a current
account deficit.
5 Differentiate between fixed and flexible exchange rate system.