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“an fta free trade agreement is an agreement between two or more countr…

Question

“an fta free trade agreement is an agreement between two or more countries where the countries agree on certain obligations that affect trade in goods and services. . . . for the united states, the main goal of trade agreements is to reduce barriers to u.s. exports, protect u.s. interests competing abroad, and enhance the rule of law in the fta partner country or countries.”

  1. based on the text, how do free trade agreements affect how the united states trades internationally? e.4.1

a. they assure the united states that employers are honoring their employees’ human rights.
b. they lower obstacles to exports from the united states and set legal expectations for trade.
c. they obligate other countries’ businesses to trade particular goods exclusively with the united states.
d. they guarantee that businesses in the united states will earn higher profits in the worldwide marketplace.

Explanation:

Brief Explanations
  • Option a: The text focuses on trade barriers, interests, and rule of law, not human rights of employees. Eliminate a.
  • Option b: The text says FTAs reduce barriers to U.S. exports and enhance the rule of law (legal expectations) in partner countries. This matches.
  • Option c: The text doesn't mention obligating other countries to trade exclusively with the U.S. Eliminate c.
  • Option d: FTAs don't guarantee profits, as profits depend on many factors. Eliminate d.

Answer:

b. They lower obstacles to exports from the United States and set legal expectations for trade.