This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 205 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 205 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Outflow of Goods and Service is called as A) Import. B) Export. Show Answer Correct Answer: B) Export. 2. What is the national security argument for government intervention in international trade? A) To prevent unemployment. B) To protect domestic industries. C) To maintain essential industries. D) To preserve national identity. Show Answer Correct Answer: C) To maintain essential industries. 3. Which of the statements below does not accurately describe the theory of comparative advantage? A) It rests on some unrealistic assumptions. B) It allows an economy to diversify its economic activities. C) It may lead to too much specialisation. D) It ignores transportation costs. Show Answer Correct Answer: B) It allows an economy to diversify its economic activities. 4. What are export subsidies? A) Taxes imposed on exported goods. B) Financial assistance provided to domestic producers for exporting goods. C) Agreements between countries to eliminate import tariffs. D) Trade restrictions on the quantity of goods that can be exported. Show Answer Correct Answer: B) Financial assistance provided to domestic producers for exporting goods. 5. Market introduction, market growth, market maturity, and sales decline are the four stages of the product life cycle. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 6. The World Trade Organization (WTO) is a global organization, headquartered in ....., for dealing with trade between nations. A) Geneva. B) Paris. C) Japan. D) Korea. Show Answer Correct Answer: A) Geneva. 7. What is the purpose of the Sale of Goods Act in Canada? A) To regulate the sale of goods and provide general rules to govern transactions. B) To protect consumers during commercial transactions. C) To maintain and encourage competition in Canada. D) To combat spam and other electronic threats. Show Answer Correct Answer: A) To regulate the sale of goods and provide general rules to govern transactions. 8. What is the currency of the European Union? A) Yen. B) Dollar. C) Euro. D) Pound. Show Answer Correct Answer: C) Euro. 9. What is the purpose of the United States-Mexico-Canada Agreement (USMCA)? A) To establish high common standards in workplace safety and labor rights. B) To promote isolationism and reduce international trade. C) To create a more balanced environment for trade and support high-paying jobs. D) To restrict trade between the United States, Mexico, and Canada. Show Answer Correct Answer: C) To create a more balanced environment for trade and support high-paying jobs. 10. When U.S. goods cost less for foreign buyers, that means the dollar is ..... A) Appreciating. B) Depreciating. C) Neither. D) None of above. Show Answer Correct Answer: B) Depreciating. 11. Measures to limit the increased import of goods, applied in the form of restrictions on the import of goods in relation to their quantity and (or) value (import quota), special duties levied in excess of import customs duty, or other measures aimed at limiting the increased import of goods. A) Duming and safeguards measures. B) Trade measures. C) Non tariff barriers. D) Unfair practices to foreign trade. Show Answer Correct Answer: B) Trade measures. 12. How are imports decreased by the government? A) Through agreements with the companies individually. B) By establishing trade barriers to decrease imports. C) By limiting money given to a country. D) All of these. Show Answer Correct Answer: B) By establishing trade barriers to decrease imports. 13. Barriers regarding the number of units imported are called..... A) Quota. B) Tariff. C) Dumping. D) Subsidy. Show Answer Correct Answer: B) Tariff. 14. U.S. exports decline. A) Appreciation. B) Depreciation. Show Answer Correct Answer: A) Appreciation. 15. Determine which country has the comparative advantage:Japan can produce 4 laptops or 12 phones Brazil can produce 1 laptop or 5 phones A) Japan. B) Brazil. C) Both options are correct. D) None of above. Show Answer Correct Answer: A) Japan. 16. Transit Tariff is a tax levied on goods passing through the country. A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 17. Mercantilism achieved prominence in A) The 18th century. B) The 19th century. C) Europe. D) None of above. Show Answer Correct Answer: A) The 18th century. 18. The World Trade Organization was created as part of the UruguayRound. A) True. B) False. Show Answer Correct Answer: A) True. 19. To promote and develop the competitiveness, presence and sustainability of the Malaysian Iron and steel industry A) MAY. B) MSI. C) WTO. D) UNCTAD. Show Answer Correct Answer: B) MSI. 20. When must an AWB be used? A) When shipping by truck. B) When shipping by boat. C) When shipping by plane. D) When shipping by email. Show Answer Correct Answer: C) When shipping by plane. ← 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