This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 170 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 170 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Mines in Africa produce diamonds and gold and sell these to Jewelers in Canada. To African producers, diamonds and gold are an import. A) True. B) False. Show Answer Correct Answer: B) False. 2. Tax number A) Finance number. B) Tax name. C) Tax number. D) Taxing number. Show Answer Correct Answer: C) Tax number. 3. Seaports are called Gateways of International Trade because:a) Cargoes and passangers travel from one part of the world to other through these portsb) The ports provide facilities for docking, loading, unloading and storage of goodsc) Ports make arrangements for tugs and barges A) All the statements are correct. B) Only a and b are correct. C) Only a is correct. D) All the statements are incorrect. Show Answer Correct Answer: A) All the statements are correct. 4. Purchase and sell of goods and services by companies in different countries A) Import. B) International Trade. C) Export. D) Trade. Show Answer Correct Answer: B) International Trade. 5. Which group is MOST LIKELY to benefit if the US Dollar appreciates against the Mexican Peso? A) Mexican businesses with contracts to buy US goods. B) Tourists traveling from Mexico to the United States. C) United States banks holding Mexican currency. D) Unites States investors buying Mexican stock. Show Answer Correct Answer: D) Unites States investors buying Mexican stock. 6. Which of the following is NOT an example of an origin criterion necessary for taxation upon import of goods? A) Country of Destination. B) Country of Origin. C) Harmonized System Code. D) Location of Final Destination. Show Answer Correct Answer: D) Location of Final Destination. 7. Where do USA citizen's go to obtain help, while in a foreign country? A) Embassy. B) Foreign aid. C) Embargo. D) Union. Show Answer Correct Answer: A) Embassy. 8. How much the currency of one nation is worth compared to the currency of another nation A) Exchange Rate. B) Standard of Living. C) Purchasing Power. D) Standards. Show Answer Correct Answer: A) Exchange Rate. 9. Goods produced in one country then shipped to another region or country are called: A) Imports. B) Domestic trade. C) Exports. D) Tariffs. Show Answer Correct Answer: C) Exports. 10. A business agreement where one organization grants permission to another organization to produce its product for a mutually agreed-upon fee. A) Joint Venture. B) Licensing. C) Franchising. D) Multinational Corporation. Show Answer Correct Answer: B) Licensing. 11. Question 5:A/An ..... draft requires the importer to pay when goods are delivered. A) Time. B) Sight. C) Deferred. D) Open. Show Answer Correct Answer: B) Sight. 12. What is GDP? A) Gross Domestic Product. B) Get Duties Prior. C) Gross Department Power. D) Gross Duties Peer. Show Answer Correct Answer: A) Gross Domestic Product. 13. New trends in International Trade A) Formation of free trade megablocs mainly in the Pacific. B) Deglobalization of Supply chains and diversification of supplier countries. C) Tariffs war between commercial super powers. D) All of the previous. Show Answer Correct Answer: D) All of the previous. 14. The exporter has sent the goods before payment, and payment is received after the goods are sold by the importer A) Letter of credit (L/C). B) Consignment. C) Advance payment (cash payment). D) None of above. Show Answer Correct Answer: B) Consignment. 15. Discuss the advantages and disadvantages of international trade for a country's economy. A) Disadvantages include decreased market access, economic stagnation, and higher prices for consumers. B) Advantages of international trade include increased unemployment, economic decline, and higher prices for consumers. C) Advantages of international trade include increased market access, economic growth, and lower prices for consumers. Disadvantages include trade imbalances, job losses in certain industries, and potential dependence on foreign countries for essential goods. D) Advantages of international trade include trade imbalances, job losses in certain industries, and potential dependence on foreign countries for essential goods. Show Answer Correct Answer: C) Advantages of international trade include increased market access, economic growth, and lower prices for consumers. Disadvantages include trade imbalances, job losses in certain industries, and potential dependence on foreign countries for essential goods. 16. It is an economic policy aimed at protecting domestic industries and jobs by imposing trade barriers, such as tariffs, quotas, and subsidies, to limit foreign competition. A) Free trade. B) Protectionism. Show Answer Correct Answer: B) Protectionism. 17. The process of banning the imports of certain goods because of economics, social and politics is known as A) Tariff. B) Quota. C) Embargo. D) License. Show Answer Correct Answer: C) Embargo. 18. Which of the following is not included in the classification of insurance contracts based on the object of insurance? A) Human insurance. B) Property insurance. C) Private insurance. D) Voluntary and compulsory insurance. Show Answer Correct Answer: A) Human insurance. 19. When a country can produce something at a lower opportunity cost, it has a..... A) Absolute advantage. B) Comparative advantage. C) Global market. D) Trade barrier. Show Answer Correct Answer: B) Comparative advantage. 20. In terms of both imports and exports, our largest trade partner is A) China. B) Mexico. C) Italy. D) Canada. Show Answer Correct Answer: D) Canada. ← 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