This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 3 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The World Trade Organization was established on January 1994 to in order to facilitate the implementation, administration and operation and further the objectives of this agreement and on the Multinational Trade Agreements. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 2. The United States places a tax on all goods imported from China. What type of trade barrier is this? A) Quota. B) Embargo. C) Tariff. D) Subsidy. Show Answer Correct Answer: C) Tariff. 3. When the value of the dollar falls against the pound, which US businesses benefit? A) Businesses that import goods from the UK to sell in the USA. B) Businesses that import components from the UK to put into their manufactured goods. C) Businesses that export goods to the UK to sell there. D) No US businesses benefit. Show Answer Correct Answer: C) Businesses that export goods to the UK to sell there. 4. Example of invisible trade A) Oil import. B) Foreign Tourist paid money. C) Textiles export. D) Vegetables export. Show Answer Correct Answer: B) Foreign Tourist paid money. 5. This department deals with bonuses, benefits and things related with the staff A) Resources Humans. B) Personnel. C) Accounting. D) None of above. Show Answer Correct Answer: B) Personnel. 6. Who are the main trading partners of the US? A) Germany, Great Britain, China, and France. B) The Central American countries. C) Canada, Mexico, and China. D) The Middle Eastern countries. Show Answer Correct Answer: C) Canada, Mexico, and China. 7. Four main stages in product life cycle theory: A) Introduction-Maturity-Decline-Growth. B) Introduction-Growth-Decline-Maturity. C) Introduction-Growth-Maturity-Decline. D) Introduction-Maturity-Growth-Decline. Show Answer Correct Answer: C) Introduction-Growth-Maturity-Decline. 8. As a result of the Stamp Act, colonists organized ..... in all the colonies. A) Parties. B) Boycotts. C) Petitions. D) Elections. Show Answer Correct Answer: B) Boycotts. 9. Suppose you own a cotton clothing brand in London? Which factors you will consider when you place the order for your brand. A) Price and quality. B) The dealer is a friend. C) You love to visit that country because you love the food. D) None of above. Show Answer Correct Answer: A) Price and quality. 10. Its approach to ethics hold that the moral worth of actions or practices is determined by their consequences. A) Utilitarian approaches. B) Rights theories. C) Justice theories. D) None of above. Show Answer Correct Answer: A) Utilitarian approaches. 11. Question 2:True or FalseExporters prefer open account to advance payment. A) True. B) False. Show Answer Correct Answer: B) False. 12. True or False:Having a trade surplus means the country exports more than it imports, while having a trade deficit means the country exports less than it imports. A) True. B) False. Show Answer Correct Answer: A) True. 13. Which of these is a disadvantage of trading internationally? A) Shipping costs could decrease. B) Shipping cost could increase. C) Expanding the business. D) Increasing market share. Show Answer Correct Answer: B) Shipping cost could increase. 14. What is the World Trade Organization (WTO)? A) An international organization that promotes global environmental conservation. B) A group of countries that aim to establish a global military alliance. C) An intergovernmental body that regulates and promotes international trade. D) A forum for cultural exchange and diplomatic negotiations among nations. Show Answer Correct Answer: C) An intergovernmental body that regulates and promotes international trade. 15. Open market operations take place when the A) Central bank buys or sells stocks. B) Central bank buys or sells government bonds. C) Central bank increases or decreases the discount rate to monitor the money supply. D) Central bank increases or decreases reserve requirements for depository institutions. E) Commercial banks borrow reserves from the central bank. Show Answer Correct Answer: B) Central bank buys or sells government bonds. 16. The Japanese government was pressurized place limits on the number of vehicles exported to the United States by Japanese automobile producers in 1981. This is an example of: A) Tariff rate quota. B) Specific tariff. C) Voluntary export restraint. D) To the tariff value. Show Answer Correct Answer: C) Voluntary export restraint. 17. What is the term for when an individual person or a company owns enough stock to choose the company's board, management, and policies? A) Controlling interest. B) Parent company. C) Deregulation. D) Physical investment. Show Answer Correct Answer: A) Controlling interest. 18. Which of these is an advantage for trading internationally A) Expanding the business. B) Increasing the target market. C) Reducing the business. D) Increase in costs. Show Answer Correct Answer: A) Expanding the business. 19. Which country first signed the Convention on International Trade in Endangered Species of Wild Fauna and Flora? A) United States. B) Greece. C) Sudan. D) Nigeria. Show Answer Correct Answer: A) United States. 20. (a) List FOUR (4) types of method of payment in Islamic international trade. A) Open Account, open table, advance payment, letter of credit, love letters. B) Open Account, Advance Payment, Documentary Collection.Documentary Credit. C) Documentary Credit, secret documents, method of payment, collection payment. D) Documentary Credit, Collection payment, open account, advanced payment. Show Answer Correct Answer: B) Open Account, Advance Payment, Documentary Collection.Documentary Credit. ← PreviousNext →Related QuizzesInternational Economics QuizzesEconomics QuizzesInternational Trade Quiz 1International Trade Quiz 2International Trade Quiz 4International Trade Quiz 5International Trade Quiz 6International Trade Quiz 7International Trade Quiz 8International Trade Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books