This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 105 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 105 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What do you call the total value of everything that produced within the country borders? A) BRETTON WOODS SYSTEM. B) GROSS DOMESTIC PROGRAM. C) GROSS DOMESTIC PROCESS. D) GROSS DOMESTIC PRODUCT. Show Answer Correct Answer: D) GROSS DOMESTIC PRODUCT. 2. Unfortunately it is ..... to keep the complete range in stock. A) Insufficient. B) Uneconomic. C) Uncertain. D) Invalid. Show Answer Correct Answer: A) Insufficient. 3. What is the primary purpose of freight insurance, also known as cargo insurance? A) To ensure timely delivery of cargo. B) To increase the shipping cost for businesses. C) To protect the financial interests of shippers, consignees, and carriers. D) To provide coverage for unforeseen perils during the manufacturing process. Show Answer Correct Answer: C) To protect the financial interests of shippers, consignees, and carriers. 4. Good that is sent to another country for sale A) Export. B) Import. Show Answer Correct Answer: A) Export. 5. What are objectives of WTO? A) Increase standards of living. B) Attain full employment; Increase real income and effective demand. C) Expand production and trade in goods, services. D) All the above are correct. Show Answer Correct Answer: D) All the above are correct. 6. The manufacturer will issue a certificate of ..... certifying thah the goods have been made to the buyer's specifications. A) Manufacture. B) Inspection. Show Answer Correct Answer: A) Manufacture. 7. Below are some of the elements of trade agreement except A) Trade agreements may be bilateral or multilateral. B) Reciprocity. C) Most-favoured nation status. D) Discrimination status. Show Answer Correct Answer: D) Discrimination status. 8. Despite many sectors declined in trade post and during Covid, But the trade in Medical supplies has increased. By what percentage? A) 16% in medical supplies and 50% in PPE. B) 25% in medical supplies and 75% in PPE. C) Only the trade in medical supplies has increased, no impact on PPE. D) 100% increase in both . Show Answer Correct Answer: A) 16% in medical supplies and 50% in PPE. 9. What is globalisation? A) Globalisation is the process that enables product, financial and investment markets to operate around the globe. B) Globalisation is the process that enables product, financial and investment markets to operate around the moon. Show Answer Correct Answer: A) Globalisation is the process that enables product, financial and investment markets to operate around the globe. 10. How many countries are currently members of the WIPO Madrid System? A) 50. B) 90. C) 108. D) 75. Show Answer Correct Answer: C) 108. 11. ..... producing a good over another country if it uses fewer resources to produce that good. A) Trade deficit. B) Balance of trade. C) Absolute advantage. D) Law of comparative advantage. Show Answer Correct Answer: C) Absolute advantage. 12. There are 2 things that need to be considered so that the product is easily recognized by buyers, namely..... A) Promotion and advertising. B) Sales and purchases. C) Branding and product packaging. D) Product uniqueness and differentiation. Show Answer Correct Answer: C) Branding and product packaging. 13. What are imports? A) Goods and services sold to other countries. B) Items bought from other countries. C) The difference between the amount of money that comes into a country and the amount that goes out of it. D) The value of a currency in one country compared with the value in another country. Show Answer Correct Answer: B) Items bought from other countries. 14. If production of a car requires K = 100 units and L = 40 units, production of a motorbike requires K = 60 units and L = 30 units, then according to the H-O theory: A) Car production is labor-intensive. B) Car production is capital-intensive. C) Motorbike is labor-abundant. D) Motorbike is capital-abundant. Show Answer Correct Answer: B) Car production is capital-intensive. 15. A trading bloc may be a A) Free trade area, customs union or common market. B) Customs union or common market. C) Common market or monetary union. D) Customs union or monetary union. Show Answer Correct Answer: A) Free trade area, customs union or common market. 16. What is the most likely benefit for a low-income economy if it removes tariffs on imported goods and services? A) More choice for domestic consumers. B) More employment in declining industries. C) More exports by domestic firms. D) More tax revenue from imports. Show Answer Correct Answer: A) More choice for domestic consumers. 17. What would a free-trader most likely support? A) Quotas. B) Revenue tariffs. C) NAFTA. D) Embargoes. Show Answer Correct Answer: C) NAFTA. 18. Refers to the interdependence between countries arising from the integration of different aspects of the economy, such as trade A) International Trade. B) International Relation. C) Globalization. D) Balance of Trade. Show Answer Correct Answer: C) Globalization. 19. When a country has the ability to produce more of a product relative to another country. A) Absolute Advantage. B) Favorable Balance of Favorable Balance of Trade. C) Positive Net Export. D) Comparative Advantage. Show Answer Correct Answer: A) Absolute Advantage. 20. Developing nations often employ protectionist policies in order to A) Bring in goods from other developing nations. B) Bring in goods from well-developed nations. C) Keep out goods from other developing nations. D) Keep out goods from well-developed nations. Show Answer Correct Answer: D) Keep out goods from well-developed nations. ← PreviousNext →Related QuizzesInternational Economics QuizzesEconomics QuizzesInternational Trade Quiz 1International Trade Quiz 2International Trade Quiz 3International Trade Quiz 4International Trade Quiz 5International Trade Quiz 6International Trade Quiz 7International Trade Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books