This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 112 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 112 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. North American Free Trade Agreement (NAFTA) involves trading with which countries: A) US, Mexico, and Canada. B) US, Toyko, and China. C) US, Japan, and China. D) None of above. Show Answer Correct Answer: A) US, Mexico, and Canada. 2. It's a place where goods are stored after shipping but before the payment of duties on those goods. A) STORAGE. B) BONDED WAREHOUSE. C) CHAMBER. D) None of above. Show Answer Correct Answer: B) BONDED WAREHOUSE. 3. What happens to imports and exports when the exchange rate appreciates? A) Imports become cheaper, exports become more expensive. B) Imports become more expensive, exports become cheaper. C) Both imports and exports become cheaper. D) Both imports and exports become more expensive. Show Answer Correct Answer: A) Imports become cheaper, exports become more expensive. 4. What is the primary reason behind countries engaging in international trade? A) To reduce domestic production costs. B) To achieve self-sufficiency. C) To increase government control over the economy. D) To benefit from specialization and comparative advantage. Show Answer Correct Answer: D) To benefit from specialization and comparative advantage. 5. The small jet ..... between Kuala Lumpur and Singapore nearly every two hours A) Shuttles. B) Intrepid. C) Haggle. D) Extract. Show Answer Correct Answer: A) Shuttles. 6. The concentration of production on types of goods or services that have high productivity and efficiency by a country is called..... A) Creative industry. B) Specialization. C) Creative economy. D) Industrialization. Show Answer Correct Answer: B) Specialization. 7. It is the purchase and receipt of goods and services from another country. It involves bringing products from foreign markets into a domestic market. A) Import. B) Export. Show Answer Correct Answer: A) Import. 8. Which of the following is a situation in which trade is advantageous? A) Two countries produce different goods for different costs. B) Two countries have the same markets. C) Two countries produce the same goods for the same costs. D) Two countries are isolated. Show Answer Correct Answer: A) Two countries produce different goods for different costs. 9. China ..... a lot of steel. A) Surplus. B) Exports. C) Domestic. D) Percent. Show Answer Correct Answer: B) Exports. 10. Explain the role of broadband internet in international integration. A) Broadband internet enables fast data transmission, which enhances global connectivity. B) Broadband internet is only used for domestic communication. C) Broadband internet has not affected international integration. D) Broadband internet has slowed down data transmission across borders. Show Answer Correct Answer: A) Broadband internet enables fast data transmission, which enhances global connectivity. 11. It is assumed that when the country starts to trade, then the domestic price will either rise or fall to the world price level. A) True. B) False. Show Answer Correct Answer: A) True. 12. What is "Glocalisation" ? A) A product or service that is developed and distributed globally, but is also adjusted to accommodate the user or consumer in a local market. B) Global market research. C) Global research and development. D) Global technological human resource techniques. Show Answer Correct Answer: A) A product or service that is developed and distributed globally, but is also adjusted to accommodate the user or consumer in a local market. 13. The articles of the General Agreement on Tariffs and Trade (GATT) were originally agreed on ..... and subsequently, with some revisions in ..... A) 1925, 1945. B) 1889, 1895. C) 1947, 1994. D) 1870, 1890. Show Answer Correct Answer: C) 1947, 1994. 14. CETA refers to A) A unique agreement that does not conform with any of the WTO agreements. B) Canada-EU Comprehensive Economic and Trade Agreement. C) Council of the European Trade Union. D) None of above. Show Answer Correct Answer: B) Canada-EU Comprehensive Economic and Trade Agreement. 15. ..... protects domestic industries against foreign competition by means of tariffs, subsidies, import quotas, slow immigration, or other restrictions or handicaps placed on the imports of foreign competitors A) Exchange rate. B) Export. C) Free trade. D) Protectionist policy. Show Answer Correct Answer: D) Protectionist policy. 16. Provide the funding of small and medium-sized enterprises, and represents a major function of the general business finance market. A) Malaysian Trade Bank. B) MIDF. C) WORLD BANK. D) SME'S BANK. Show Answer Correct Answer: D) SME'S BANK. 17. What is the sale of products in foreign markets at prices below the minimum level necessary to make a profit called? A) Tariff. B) Nontariff barriers. C) Dumping. D) Most-favored nation. Show Answer Correct Answer: C) Dumping. 18. What determines the prices of internationally traded goods? A) Supply and Demand. B) Countries and Government. C) Seller and Buyer. D) Capital and Sales. Show Answer Correct Answer: A) Supply and Demand. 19. Which of the following is a reason for exporting A) ACCESS TO NATURAL RESOURCES. B) INTENSE COMPETITION. C) CHOICE AND VARIETY. D) SURVIVAL. Show Answer Correct Answer: D) SURVIVAL. 20. It refers to the sale and delivery of an intangible product called service, between producer and consumer. A) Service Trade. B) Cross-Border trade. C) MAY. D) Trade in Service. Show Answer Correct Answer: D) Trade in Service. ← 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