This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 180 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 180 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Net exports equal A) Exports x Imports. B) Exports + Imports. C) Exports-Imports. D) Exports of services only. Show Answer Correct Answer: C) Exports-Imports. 2. Most of the world's merchandise trade is composed of trade in agricultural products. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 3. What type of international investment can describe as a "financial investment" ? A) Foreign direct investment (FDI). B) Foreign portfolio investment (FPI). C) Real estate investment. D) Goods investment. Show Answer Correct Answer: B) Foreign portfolio investment (FPI). 4. When a country experiences a depreciation of its currency, it can expect which of these to happen? A) Balance of trade to improve. B) Balance of trade to worsen. Show Answer Correct Answer: A) Balance of trade to improve. 5. Indonesia's first trade dispute case at the WTO as a defendant (respondent) in 1998 was related to..... A) Footwear products. B) Palm oil commodities. C) Automotive industry. D) Chicken import commodities. Show Answer Correct Answer: C) Automotive industry. 6. When a country imports more than exports, it will have ..... A) Trade surplus. B) The trade fails. Show Answer Correct Answer: B) The trade fails. 7. They are taxes or fees levied on goods when they cross international borders. These duties are collected by customs authorities to regulate trade and generate revenue for the government. A) Tariff. B) Customs duties. Show Answer Correct Answer: B) Customs duties. 8. Who is the proponent of the Principle of Comparative Advantage? A) Michael Porter. B) David Ricardo. C) Bertil Ohlin. D) That is, Hecksher. Show Answer Correct Answer: B) David Ricardo. 9. New ..... are still being discovered today! A) Weather. B) Civilisations. C) Market. D) Trade. Show Answer Correct Answer: B) Civilisations. 10. Protectionism is a form of ..... A) Protecting American businesses. B) Protecting American trade partners. C) Protecting America's offshore oil fields. D) Checking for monsters under American's bed. Show Answer Correct Answer: A) Protecting American businesses. 11. What is the purpose of the General Agreement on Tariffs and Trade (GATT)? A) To promote isolationism and reduce international trade. B) To enforce strict import regulations on member countries. C) To regulate e-commerce transactions within member countries. D) To liberalize trade by reducing tariffs and removing quotas among member countries. Show Answer Correct Answer: D) To liberalize trade by reducing tariffs and removing quotas among member countries. 12. Manufacturing and selling a computer inside a single country is called A) Domestic business. B) International technology. C) Foreign market capitalization. D) Global trade. Show Answer Correct Answer: A) Domestic business. 13. The economy performs best with minimal government interaction in the market. A) Fair Trade. B) Free Trade. C) Globalization. D) World Trade Organization (WTO). Show Answer Correct Answer: B) Free Trade. 14. In general, we can define the meaning of negotiation as..... A) The process of reaching agreement between two parties who have different views. B) One-way communication in requesting information regarding the need for goods or services. C) The argumentation process to win the competition. D) All answers are correct. Show Answer Correct Answer: A) The process of reaching agreement between two parties who have different views. 15. Discuss the advantages of free trade for a country's economy. A) Free trade promotes competition, lowers prices, and allows for efficient allocation of resources. B) Free trade hinders economic growth and development. C) Free trade leads to higher prices and less competition. D) Free trade results in inefficient allocation of resources. Show Answer Correct Answer: A) Free trade promotes competition, lowers prices, and allows for efficient allocation of resources. 16. The goods and services that a country produces are not planned by anyone. Production is determined by the interaction of supply and demand and signaled to producers through the price system. A) Market economy. B) Command economy. C) Mixed economy. D) None of above. Show Answer Correct Answer: A) Market economy. 17. All are the International Chamber of Commerce core services/activities include:except A) Working against political crime. B) Promoting the multilateral trading system. C) Setting rules and standards. D) Being an advocate for international business. Show Answer Correct Answer: A) Working against political crime. 18. What is the main objective of subsidies? A) To help domestic producers compete against low-cost foreign imports. B) To provide protection to domestic producers against foreign competitors. C) To gain export markets. D) To benefit consumers by reducing prices. Show Answer Correct Answer: A) To help domestic producers compete against low-cost foreign imports. 19. What is a CMR Document? A) A list of goods shipped to an importer. B) An International consignment that governs shipping merchandise by road. C) An agreement between exporter and importer to ship goods by air. D) A form that must be given to the pilot that trasports the merchandise. Show Answer Correct Answer: B) An International consignment that governs shipping merchandise by road. 20. The ..... was so big, you could walk inside it. A) Artificial. B) Cruise. C) Container. D) Mainland. Show Answer Correct Answer: C) Container. ← 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