This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 158 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 158 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The concept of balance of payments refers to the record of all economic transactions (a) during a specific time period. A) Within a country. B) A between a country and the rest of t. C) Between individuals within a countr. D) Between countries during a specific. Show Answer Correct Answer: B) A between a country and the rest of t. 2. "Protectionist" trade policies are design to A) Increase imports. B) Protect domestic industry. C) Reduce tariffs on foreign products. D) Increase government transfer payments. Show Answer Correct Answer: B) Protect domestic industry. 3. What are the advantages of engaging in international trade? A) Increased prices for goods and services. B) Reduced access to goods and services. C) Access to a wider variety of goods and services. D) Decreased variety of products. Show Answer Correct Answer: C) Access to a wider variety of goods and services. 4. Just as societies have cultures, so do business organizations. A) True. B) False. Show Answer Correct Answer: A) True. 5. If Pc/Pf were to increase in the international marketplace, then A) All countries would be better off. B) The terms of trade of cloth exporters improve. C) The terms of trade of food exporters improve. D) The terms of trade of all countries improve. Show Answer Correct Answer: B) The terms of trade of cloth exporters improve. 6. All the businesses that make one kind of product or provide one kind of service. A) Industry. B) Industry. C) Industry. D) Industry. Show Answer Correct Answer: A) Industry. 7. What is the main benefit of trade according to recent research mentioned in the text? A) Greater product variety. B) All of the above. C) Increased competition. D) More efficient investment spending. Show Answer Correct Answer: B) All of the above. 8. In the Ricardian model, ountries will export goods that their labor produces ..... and will import goods that their labor produces ..... A) Inefficiently-efficiently. B) Efficiently-inefficiently. C) Relatively efficiently-relatively inefficiently. D) Relatively inefficiently-relatively efficiently. Show Answer Correct Answer: C) Relatively efficiently-relatively inefficiently. 9. A group of neighboring countries that promote trade with each other and create barriers to limit trade with others A) Free trade. B) Trade Surplus. C) Trade Failure. D) Trading Blocs. Show Answer Correct Answer: D) Trading Blocs. 10. What year was the latest edition of INCOTERM? A) 2000. B) 2010. C) 2020. D) 2023. Show Answer Correct Answer: C) 2020. 11. Which is the correct option A) International trade does not take place globally. B) International trade does not apply to the UAE. C) International trade deals with only trading of services. D) International trade is the exchange of goods and products between countries globally. Show Answer Correct Answer: D) International trade is the exchange of goods and products between countries globally. 12. In Vietnam, the unit labour requirement for Cloth production is 10 hours, while for Widgets is 20 hours. In Thailand, the unit labour requirement for Cloth production is 60 hours, while for Widgets is 30 hours. What is the true statement? A) Thailand has a comparative advantage in producing both. B) Vietnam has a comparative advantage in cloth. C) Thailand has a comparative advantage in cloth. D) Vietnam has a comparative advantage in widgets. Show Answer Correct Answer: B) Vietnam has a comparative advantage in cloth. 13. What are the main benefits of participating in a regional trading bloc? A) Limited trade opportunities, stagnant economy, job stagnation, restricted market access, and increased trade barriers. B) Decreased trade opportunities, economic decline, job loss, limited market access, and increased trade barriers. C) Reduced trade opportunities, economic recession, job scarcity, limited market access, and increased trade barriers. D) Increased trade opportunities, economic growth, job creation, access to a larger market, and reduced trade barriers. Show Answer Correct Answer: D) Increased trade opportunities, economic growth, job creation, access to a larger market, and reduced trade barriers. 14. Which of the following is most directly affected by an embargo established by the United States? A) U.S. tariffs. B) U.S. exports. C) U.S. imports. D) U.S. free traders. Show Answer Correct Answer: B) U.S. exports. 15. All of the followings are assumptions in the absolute advantage theory EXCEPT A) There are only three countries in the world. B) Only two goods are produced. C) Free trade exists between these two countries. D) No transportation costs are involved. Show Answer Correct Answer: A) There are only three countries in the world. 16. Several types of ethics in organizations and ethical management..... A) Management. B) Employee. C) Informasi. D) Manager. Show Answer Correct Answer: A) Management. 17. The president was able to ..... a deal to forgive all Latin American debt in exchange for opening the border. A) State. B) Query. C) Negotiate. D) Issue. Show Answer Correct Answer: C) Negotiate. 18. The EU and ASEAN have a trade agreement in effect since 1980, however the EU refuses to trade with Burma/Myanmar as long as human rights are an issue in that country. This is an example of which of the following? A) Subsidies. B) Most favored nation. C) Trade barriers. D) Tariffs. Show Answer Correct Answer: C) Trade barriers. 19. When merchanidse is moved or shipped, it's called ..... A) Cargo. B) Freight. C) Both are correct. D) None of above. Show Answer Correct Answer: C) Both are correct. 20. If he forgot to pay his rent, his landlady would send him a ..... A) Invoice. B) Reminder. C) Precaution. D) Reservation. Show Answer Correct Answer: B) Reminder. ← 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