This quiz works best with JavaScript enabled. Home > Finance > Economics > International Economics > International Trade > International Trade – Quiz 13 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 13 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Most of our ..... have been working with us for a number of years. A) Suppliers. B) Supplements. C) Supplies. D) Supporters. Show Answer Correct Answer: A) Suppliers. 2. They focus their attention on countries experiencing short-term economic crises A) International Monetary Fund. B) World Trade Organization. C) World Bank. D) None of above. Show Answer Correct Answer: A) International Monetary Fund. 3. Most students are confused by her lectures, but Joe can always ..... her main idea A) Extract. B) Haggle. C) Intrepid. D) Distill. Show Answer Correct Answer: D) Distill. 4. Portfolio investment means one company invests in another company by way of investing in its securities and earning income in the form of interests and dividends. A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 5. What is the acronym of GDP? A) GROSS DEPARTMENT PRODUCT. B) GROSS DOMESTIC PRODUCT. C) GROSS DOMESTIC PROCESS. D) None of above. Show Answer Correct Answer: B) GROSS DOMESTIC PRODUCT. 6. Can an international trademark registration obtained through the WIPO Madrid System be cancelled or invalidated? A) Maybe. B) Not sure. C) No. D) Yes. Show Answer Correct Answer: D) Yes. 7. Production possibility frontier skewed to the X-axis because of ..... A) Industry X need more capital in their production. B) Industry X need more labour in their production. C) Country resources are more on Capital. D) Country resources are more on Labour. Show Answer Correct Answer: D) Country resources are more on Labour. 8. What are non-tariff barriers? A) Taxes on imported goods. B) Restrictions to trade that are not in the form of a tariff or tax. C) Export subsidies given by the government. D) Trade agreements between countries. Show Answer Correct Answer: B) Restrictions to trade that are not in the form of a tariff or tax. 9. Which method of payment is the least risky for an exporter? A) Open account. B) Prepayment. C) Letter of credit. D) Trade credit. Show Answer Correct Answer: B) Prepayment. 10. Why was life on the silk Road difficult A) Because China sent large amounts of silk along this road. B) Through people connecting with each other. C) Because it is made of many routes. D) Because they carried precious goods and the roads weren't safe. E) Because the roads were dangerous and nature was hard. Show Answer Correct Answer: E) Because the roads were dangerous and nature was hard. 11. The economic and political union of European nations established in 1993 is called the A) EU. B) G8. C) WTO. D) APEC. Show Answer Correct Answer: A) EU. 12. It refers to business activities that transfer resources, goods, services, knowledge, skills, or information across national borders A) International Business. B) International trade. C) Globalized. D) Globalization. Show Answer Correct Answer: A) International Business. 13. Taxes applied to imports and exports. A) Duty. B) Customs. C) Both are correct. D) None of above. Show Answer Correct Answer: C) Both are correct. 14. Economies have become increasingly linked through globalisation.What would discourage this? A) Creation of a single world market. B) Direct foreign investment by multinational companies. C) Expansion of trade in financial services. D) Protectionist policies by trading groups. Show Answer Correct Answer: D) Protectionist policies by trading groups. 15. In which case the exporter is reimbursed? A) If the exporter obtains a credit. B) If the exporter buys additional services. C) If the exporter is a regular customer. D) If the exporter purchases insurance. Show Answer Correct Answer: D) If the exporter purchases insurance. 16. What is the term that describes a group of firms cooperating with each other in order to avoid competition? A) Communication. B) Combination. C) Collusion. D) Competition. Show Answer Correct Answer: D) Competition. 17. All are advantages of foreign trade, except A) Nations compete. B) Optimum utilization of countries' resources. C) Cheaper goods. D) People get foreign exchange. Show Answer Correct Answer: D) People get foreign exchange. 18. What is NOT some reasons for government intervention in international trade? A) To preserve politician identity. B) To prevent unemployment. C) To protect infant industries. D) To further foreign policy goals. Show Answer Correct Answer: A) To preserve politician identity. 19. Factors that are not included in the background to the emergence of international trade are..... A) Differences in natural resources. B) The emergence of cultural differences. C) Differences in climate and weather. D) Differences in the quality of human resources. Show Answer Correct Answer: C) Differences in climate and weather. 20. Bill of exchange A) Bill of exchange. B) Bill of lading. C) Exchange invoice. D) None of above. Show Answer Correct Answer: A) Bill of exchange. 21. Why is international trade insurance important, with regards to its impact on various aspects of business? A) Creating financial instability in the organization. B) Facilitating the expansion of business to another level. C) Undermining relationships with customers. D) None of above. Show Answer Correct Answer: B) Facilitating the expansion of business to another level. 22. ..... refers to the policy measures adopted by a country with reference to its export and Imports A) Economic Policy. B) Monetary Policy. C) Fiscal Policy. D) EXIM Policy. Show Answer Correct Answer: D) EXIM Policy. 23. What is the impact of international trade on economic growth, job creation, and poverty reduction? A) International trade leads to exploitation of workers in developing countries. B) International trade has no impact on poverty and unemployment. C) International trade only benefits wealthy countries and corporations. D) International trade allows countries to specialize in the production of goods and services in which they have a comparative advantage, leading to increased economic growth, job creation, and poverty reduction. Show Answer Correct Answer: D) International trade allows countries to specialize in the production of goods and services in which they have a comparative advantage, leading to increased economic growth, job creation, and poverty reduction. 24. What is meant by free trade? A) Exports are transported free of charge. B) Commissions for changing currency are waived for international trade transactions. C) A government allows open access to all markets in its country. D) International transactions are free of indirect taxes such as VAT. Show Answer Correct Answer: C) A government allows open access to all markets in its country. 25. When one producer has a lower opportunity cost of production than another producer for a given item, what exists? A) Absolute disadvantage. B) Absolute advantage. C) Comparative disadvantage. D) Comparative advantage. Show Answer Correct Answer: D) Comparative advantage. 26. This account records a nation's imports and exports of goods, services, net investment income, and net transfers. A) Current account. B) Financial/capital account. C) Official reserves. D) None of above. Show Answer Correct Answer: A) Current account. 27. One of the main characteristics that is able to capture organizational culture is..... A) Global attention. B) Performance orientation. C) Technical expertise. D) Innovation and managing risk. Show Answer Correct Answer: D) Innovation and managing risk. 28. An economics professor is discussing a measure of trade that involves a comparison of exports and imports of goods for the year just ended. What name is given to this measurement? A) Export trade balance. B) Merchandise trade balance. C) Import trade balance. D) Current account balance. Show Answer Correct Answer: B) Merchandise trade balance. 29. Which of the following is more closely related to opportunity cost? A) Comparative advantage. B) Absolute advantage. Show Answer Correct Answer: A) Comparative advantage. 30. This is moral rather than commercial. It has the most direct impact on business. A) Religious law. B) Civil law. C) Common law. D) None of above. Show Answer Correct Answer: A) Religious law. ← 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