This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 72 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 72 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Transactions with the "entrusting goods" system are called A) Consignment. B) Border Crossing. C) Package Deal. D) Overland Border Crossing. Show Answer Correct Answer: A) Consignment. 2. How does this concentration of production affect prices? A) The effect of trade is to reduce prices. B) The amount by which quantity supplied will change as price changes. Show Answer Correct Answer: A) The effect of trade is to reduce prices. 3. The United States EXPORTS A) Kangaroos. B) Airplanes. C) Cocoa Beans. D) None of above. Show Answer Correct Answer: B) Airplanes. 4. Trade Barriers are not important to Malaysia because they hinder trade liberalization in the global arena. A) Yes. B) No. Show Answer Correct Answer: B) No. 5. The objectives of international trade include..... A) Rule other countries. B) Earn foreign exchange. C) Shows the wealth of the country. D) Expanding the country's territory. Show Answer Correct Answer: B) Earn foreign exchange. 6. Which of the following are supporters of neomercantilism? A) Some manufacturers. B) Farmers. C) Labor unions. D) All of the above. Show Answer Correct Answer: D) All of the above. 7. Pakistan's largest import item is A) Arms. B) Machinery. C) Petroleum. D) Raw material. Show Answer Correct Answer: C) Petroleum. 8. A floating exchange rate is a regime where the currency price is set by the A) Forex market based on demand for the currency compared with other currencies. B) Forex market based on supply and demand compared with other currencies. C) Central banking authority. D) The country who is trading with our country. Show Answer Correct Answer: B) Forex market based on supply and demand compared with other currencies. 9. Excluding ....., trade barriers are normally created to help protect domestic industry or domestic jobs. A) Standards. B) Balance of Trade. C) Embargoes. D) Tariffs. Show Answer Correct Answer: C) Embargoes. 10. Which of the following trade blocks liberalized trade between the United States, Canada, and Mexico? A) EU-European Union. B) NAFTA-North American Free Trade Agreement. C) ASEAN-Association of Southeast Asian Nations. D) WTO-World Trade Organization. Show Answer Correct Answer: B) NAFTA-North American Free Trade Agreement. 11. ..... trade occurs within one country and ..... trade is between different countries. A) Common, Exclusive. B) Exclusive, Common. C) Domestic, World. D) World, Domestic. Show Answer Correct Answer: C) Domestic, World. 12. You are a UK business that exports to the US market. If the £1 goes from being equal to $ 1.25 to $ 1.50, what will happen to your exports to the US? A) Exports to US will become more expensive and decrease. B) Exports to US will become cheaper and increase. C) Exports to US will stay the same. D) None of the answers. E) Exports to US will become cheaper and decrease. Show Answer Correct Answer: A) Exports to US will become more expensive and decrease. 13. 'Demand conditions at home, ' is not one of the sources of national competitive advantage. A) True. B) False. Show Answer Correct Answer: B) False. 14. Purpose:To hurt a country's economy A) Quota. B) Tariff. C) Embargo. D) None of above. Show Answer Correct Answer: C) Embargo. 15. This attempts to run an export surplus to achieve a social or political objective. A) Neomercantilism. B) Absolute Advantage. C) Comparative Advantage. D) None of above. Show Answer Correct Answer: A) Neomercantilism. 16. The difference in a nation's imports and exports is called what? A) Balance of trade. B) Absolute advantage. C) Trade advantage. D) None of above. Show Answer Correct Answer: A) Balance of trade. 17. The value of the Dollar appreciates versus the Euro. Who will benefit? A) An American exporter. B) A French traveler to the United States. C) An American traveling to Europe. D) No one benefits. Show Answer Correct Answer: C) An American traveling to Europe. 18. If a business builds a washing machine in India and then ships it to America to be sold, this is A) Domestic business. B) Global dependency. C) None of the above. D) International business. Show Answer Correct Answer: D) International business. 19. What are the BRICS nations in the context of changes in the spatial distribution of production and consumption? A) New global currencies. B) Western European trade partners. C) Emerging economic superpowers. D) Environmental organizations. Show Answer Correct Answer: C) Emerging economic superpowers. 20. When the exchange rates for currencies change as supply and demand for these currencies changes, this is called a A) Temporary exchange rate. B) Variable exchange rate. C) Fluctuating exchange rate. D) Flexible exchange rate. Show Answer Correct Answer: D) Flexible exchange rate. ← 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