This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 65 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 65 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the North American Free Trade Agreement (NAFTA)? A) An agreement between the US and China to promote trade. B) An agreement between the US and Canada to promote trade. C) An agreement between the US and Mexico to promote trade. D) An agreement between the US and European Union to promote trade. Show Answer Correct Answer: C) An agreement between the US and Mexico to promote trade. 2. It measured the income received by a country from domestic and foreign trade A) GDP. B) GNP. C) GNI. D) GDP and GNP. Show Answer Correct Answer: C) GNI. 3. The condition of Earth's atmosphere at a particular time and place. A) Weather. B) Weafer. C) Whether. D) Wheather. Show Answer Correct Answer: A) Weather. 4. Which country has the highest standard of living?OBLville:GDP 100, population 50Owlmania:GDP 500, population 500 A) LOBville. B) Owlmania. Show Answer Correct Answer: A) LOBville. 5. One trend associated with globalization is A) A growing reliance on the World Bank among nations. B) A growing economic interdependence among nations. C) Less political stability among nations. D) Less political cooperation among nations. Show Answer Correct Answer: B) A growing economic interdependence among nations. 6. Goods that are bought and sold. A) Cargo. B) Merchandise. Show Answer Correct Answer: B) Merchandise. 7. What are tariffs and quotas? A) Tariffs are taxes on imported goods, while quotas are limits on the quantity of a good that can be imported. B) Tariffs are subsidies on imported goods, while quotas are taxes on exported goods. C) Tariffs are restrictions on the quality of imported goods, while quotas are limits on the quantity of a good that can be exported. D) Tariffs are limits on the quantity of a good that can be imported, while quotas are taxes on imported goods. Show Answer Correct Answer: A) Tariffs are taxes on imported goods, while quotas are limits on the quantity of a good that can be imported. 8. What products does Microsoft not make? A) Windows. B) Skype. C) Xbox. D) Zoom. Show Answer Correct Answer: D) Zoom. 9. What is the annual difference between a country's exports and imports called? A) Trade surplus. B) Trade fails. C) Net exports. D) Trade balance. Show Answer Correct Answer: B) Trade fails. 10. Diamonds found in South Africa are used to make rings in Maine. A) Import. B) Export. Show Answer Correct Answer: A) Import. 11. One of the benefits of international trade is the possibility of increased output which means A) An opportunity to avoid diseconomies of scale. B) An opportunity to exploit economies of scale. C) An increase in the extent of competition for domestic firms. D) Reduced immigration. Show Answer Correct Answer: B) An opportunity to exploit economies of scale. 12. You will see form the catalogue that our prices are very ..... A) Competitive. B) Competent. C) Completed. D) Compatible. Show Answer Correct Answer: A) Competitive. 13. These are all arguments made for ..... Increased competition-Lower prices-Helps developing nations establish a higher standard of living A) Tariff. B) Trade. C) Free trade. D) Protectionist policy. Show Answer Correct Answer: C) Free trade. 14. The national security argument against free trade is that goods vital to the nation's security should be produced domestically. A) True. B) False. Show Answer Correct Answer: A) True. 15. Which of the following is an example of an export for the USA? A) America sells paper to Germany. B) Germany sells printers to America. C) America sells printers to central Florida. D) South Africa buys meat from Chile. Show Answer Correct Answer: A) America sells paper to Germany. 16. What does the term "capital" represent in the context of international economics? A) Financial assets or resources used in the production of goods and services. B) Natural resources and raw materials. C) Human effort and skills. D) Government policies and regulations. Show Answer Correct Answer: A) Financial assets or resources used in the production of goods and services. 17. What is the difference between International trade and multinational companies? A) International trade is only present in one country and multinational is not. B) Both only trade in one country, international companies are typically larger than multinational ones. C) International trade import and exports while multinational companies trade and manufacture in different countries. D) Both trade in multiple countries. Show Answer Correct Answer: C) International trade import and exports while multinational companies trade and manufacture in different countries. 18. Which of the following are NOT true about the EU? A) Member nations of the EU have a common currency. B) The largest number of countries in an economic alliance in the world. C) A political, economic, and social alliance between the member nations. D) All European nations are part of the EU. Show Answer Correct Answer: D) All European nations are part of the EU. 19. When must you ask for a Multimodal Bill of Lading FBL? A) When shipping expensive goods. B) When the goods are imported from Asia. C) When using more than one mode of Transport. D) When you ship in secret mode. Show Answer Correct Answer: C) When using more than one mode of Transport. 20. If two nations specialize according to the law ofcomparative advantage and then trade with eachother, which of the following would be true? A) A smaller number of goods would be avail-able in each trading nation. B) Total world production of goods woulddecrease. C) Everyone within each nation would bebetter off. D) Each nation would increase its consumptionpossibilities. E) One nation would gain at the expense of theother nation. Show Answer Correct Answer: D) Each nation would increase its consumptionpossibilities. ← 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