Australia’s top three trading partners in 2021/2022 (country) in correct order were:

Consider trade relations between Australia and New Zealand. Assume that the leaders of the two countries believe the pay-offs to alternative trade policies are as follows: Australia Low tariffs, New Zealand​​ Low tariffs = Australia gains $10 billion, New Zealand gains $10 billion​​ Australia High tariffs, New Zealand​​ Low tariffs = Australia gains $20 billion, New Zealand gains $2 billion Australia Low tariffs, New Zealand​​ High tariffs = Australia gains $2 billion​​, New Zealand gains $20 billion Australia High tariffs, New Zealand​​ High tariffs = Australia gains $4 billion​​, New Zealand gains $4 billion a) What is the dominant strategy for Australia? For New Zealand? Explain. b) Define Nash equilibrium. What is the Nash equilibrium for trade policy? c) Under the Closer Economic Relations agreement, Australia and New Zealand both agreed to allow free trade in goods and services between the two countries. Do the perceived pay-offs as shown here justify this move to a bilateral free trade policy? d) Based on your understanding of the gains from trade (discussed in Chapters 3 and 9), do you think that these pay-offs actually reflect a nation's welfare under the four possible outcomes?

Which of the following is Australia's largest agricultural export?Group of answer choicesFruitDairySugarBeefWine

Which of the following trade alliances is likely to promote economic cooperation between Australia, Russia, and Thailand?Multiple ChoiceThe Asia-Pacific Economic Cooperation (APEC)The Association of Southeast Asian Nations (ASEAN)The European Economic Community (EEC)United States–Mexico–Canada Agreement (USMCA)

Australia agrees to new trade deal:Australia, along with 14 other Indo-Pacific nations, agreed to the Regional Comprehensive Economic Partnership (RCEP) in November. The RCEP is a new Free Trade Agreement, potentially the largest of its type in the world. In total, 15 countries have signed the agreement, including China, Japan and South Korea. However, both India and the United States are not included in the initial agreement. RCEP participants make up nearly 30% of the world’s population and GDP, and represent 66% of Australia’s exports. RCEP is an example of a “multilateral” trade agreement i.e. an agreement that involves multiple nations. Source: Plain English Economics.Question: Free trade agreements like the RCEP are an indication that the world is becoming:(2 Points)UnilateralLess integratedGlobalisedProtectionist

AUSTRALIA CHINA Trade War: In May 2020 the Chinese government imposed an 80.5% tariff on Australian barley over allegations that Australian producers had dumped the product in the Chinese market at a discounted rate. Since then more tariffs and other restrictions have been placed by Chinese authorities on Australian exports of beef, seafood, wine and coal into the Chinese market. Australia’s total export trade with China is estimated to be worth $135b per year with China also being the source of $78b worth of imports. This makes total merchandise trade (exports + imports) worth $213b per year. China’s actions have hurt major Australian export industries and in response, the Australian government and Australian businesses have tried to develop new markets. ~Source: Tim Riley Publications Pty Ltd.Question: If China was to stop all trade with Australia, how much would this cost the Australian Economy in total trade, according to the above extract?(2 Points)$135b$78b80.5%$213b