This quiz works best with JavaScript enabled. Home > Economics > International Economics > International Trade > International Trade – Quiz 81 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 81 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Supposed that, R:Rice ; S:SteelWe have five nations, two goods and their relative price as below:In India, PR/PS = 0, 2In Vietnam, PR/PS = 0, 25In Thailand, PR/PS = 0, 3In Russia, PR/PS = 0, 5In Japan, PR/PS = 0, 6If the equilibrium PR/PS = 0, 5. What nations will export rice? A) All of them will export. B) Vietnam, Thailand, Russia. C) Thailand, Russia, Japan. D) India, Vietnam, Thailand. Show Answer Correct Answer: D) India, Vietnam, Thailand. 2. Strategy that limits international trade in order to protect domestic firms A) Free Trade. B) Protectionism. C) Balance of Trade. D) Trade Blocks. Show Answer Correct Answer: B) Protectionism. 3. They are stages in the economic integration process A) Preferential Trade Area, Free Trade Area, Common Market. B) Customs Union, . Monetary Union, Fiscal Union. C) None of the above. D) All of the above. Show Answer Correct Answer: D) All of the above. 4. Karl Marx published which of the following books? A) The capital. B) General Theory of Communism. C) Wealth of Nations. D) Capitalist Manifesto. Show Answer Correct Answer: A) The capital. 5. What is a tariff in international trade? A) A tax on domestic goods. B) A restriction on trade. C) A subsidy to foreign producers. D) A tax on imported goods. Show Answer Correct Answer: D) A tax on imported goods. 6. To make sure that your employer can pay the compensation, they must take out an insurance ..... A) Policy. B) Card. C) Claim. D) Line. Show Answer Correct Answer: A) Policy. 7. She was shocked when we ..... that the company would be closing. A) Announced. B) Told. Show Answer Correct Answer: A) Announced. 8. The dollar strengthens. A) Appreciate. B) Depreciate. Show Answer Correct Answer: A) Appreciate. 9. Suppose you are the director of the overseas purchasing department of Langlangshan Company and you purchase a batch of potatoes from abroad in the name of your company. Is this behavior considered international trade? A) Yes. B) No. Show Answer Correct Answer: A) Yes. 10. The combination of a supermarket and a discount store is greater than a superstore i.e..... A) Department Store. B) Warehouse Showroom. C) Warehouse Club. D) Hypermarket. Show Answer Correct Answer: D) Hypermarket. 11. Market price A) M-pricing. B) Greater pricing. C) Markup pricing. D) Skimming pricing. Show Answer Correct Answer: C) Markup pricing. 12. Protectionism is similar to mercantilism as they both advocated ..... A) Dividing the nations of the world into three categories based on its innovation capabilities. B) Developing comparative advantages based on a nation's locally abundant factors. C) Specializing in economic activities in which a nation can have an absolute advantage. D) Government involvement in international trade. Show Answer Correct Answer: D) Government involvement in international trade. 13. A nation can have an absolute advantage without having a comparative advantage in production. A) True. B) False. Show Answer Correct Answer: A) True. 14. All are the basic risks in international trade and investment, except A) Commercial. B) Political. C) Financial. D) Currency. E) Project. Show Answer Correct Answer: E) Project. 15. How do exchange rates affect international trade? A) They have no impact on international trade. B) They can impact the price competitiveness of goods and services. C) They only affect countries with strong economies. D) They promote protectionist trade policies. Show Answer Correct Answer: B) They can impact the price competitiveness of goods and services. 16. A Chinese man goes to Singapore to cure cancer with this country's private health care service. This is an example of ..... A) Mode I:Cross-border supply. B) Mode II:Consumption abroad. C) Mode III:Commercial presence. D) Mode IV:Natural persons presence. Show Answer Correct Answer: B) Mode II:Consumption abroad. 17. What is one main difference between PTAs and FTAs? A) PTAs are only multilateral. B) PTAs apply only to services. C) FTAs cannot be unilateral. D) None of above. Show Answer Correct Answer: C) FTAs cannot be unilateral. 18. Which one of the following is a characteristic of globalisation A) Low levels of labour migration. B) The development of global brands. C) A decrease in foreign direct investment. D) A reduction in out-sourcing and off-shoring of production. Show Answer Correct Answer: B) The development of global brands. 19. Tariffs, quotas, and embargos are examples of: A) Physical barriers. B) Cultural barriers. C) Political barriers. D) None of above. Show Answer Correct Answer: C) Political barriers. 20. A country will become an exporter of a good if A) There are enough producers of that good. B) The world market price is above the domestic price. C) The government imposes export quotas. D) The world market price is below the domestic price. Show Answer Correct Answer: B) The world market price is above the domestic price. ← 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