This quiz works best with JavaScript enabled. Home > Finance > Economics > International Economics > International Trade > International Trade – Quiz 34 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 34 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is most likely to happen if South Korea builds a factory in Switzerland that becomes profitable? A) South Korea's imports of goods will decrease. B) South Korea's investment income will increase. C) Switzerland's trade balance in goods will worsen. D) Switzerland's trade balance in services will improve. Show Answer Correct Answer: B) South Korea's investment income will increase. 2. Selling the same product and using the same promotion methods in all countries. A) Mini-national. B) Globalization. C) Joint venture. D) Multinational. Show Answer Correct Answer: B) Globalization. 3. It's a person or bussiness that helps to importers or exporters to move their goods through customs. A) Customs broker. B) Customs braker. Show Answer Correct Answer: A) Customs broker. 4. What is a major function of the WTO? A) To help promote good economic policies for developing countries. B) To lend money to developing countries. C) To lend money to any country that needs it. D) To promote free trade. Show Answer Correct Answer: D) To promote free trade. 5. Which conflict is usually more important in determining trade policies? A) Conflicts within Nations. B) Conflicts between Nations. C) Conflicts outside Nations. D) Conflicts among Nations. Show Answer Correct Answer: A) Conflicts within Nations. 6. Advantage on specialisation by country A) Less output. B) Global output and prosperity. C) Inferior output. D) More retention of workers. Show Answer Correct Answer: B) Global output and prosperity. 7. ..... the difference in value between a country's imports and exports. A) Appreciation. B) Law of comparative advantage. C) Balance of trade. D) Absolute advantage. Show Answer Correct Answer: C) Balance of trade. 8. Currency used in Mexico A) Weight. B) Exchange rate. C) Currency. D) Canadian Dollar. E) Exchange. Show Answer Correct Answer: A) Weight. 9. Can be a freight forwarder also who transfer the goods to main carriers for carriage. A) Consignee. B) Importer. C) Shipper. D) Customs. Show Answer Correct Answer: C) Shipper. 10. Discuss the role of trade agreements and treaties in promoting international trade. A) Trade agreements and treaties lead to increased trade barriers and regulations. B) Trade agreements and treaties only benefit one country at the expense of others. C) Trade agreements and treaties play a crucial role in promoting international trade by reducing trade barriers, providing a framework for trade rules and regulations, and creating a more predictable trading environment for businesses. D) Trade agreements and treaties have no impact on international trade. Show Answer Correct Answer: C) Trade agreements and treaties play a crucial role in promoting international trade by reducing trade barriers, providing a framework for trade rules and regulations, and creating a more predictable trading environment for businesses. 11. What is the 1 main differences between a union and an alliance? A) Military backing/ support. B) Foreign aid. C) Treaty. D) Trade agreements. Show Answer Correct Answer: A) Military backing/ support. 12. To a macroeconomist, a trade deficit is synonymous with which of the following? A) Outflow of financial capital. B) Outflow of goods and services. C) Inflow of financial capital. D) Inflow of goods and services. Show Answer Correct Answer: C) Inflow of financial capital. 13. Is there any disadvantage to a government placing a tariff on imported goods? A) No, it helps domestic consumers, firms, and workers. B) No, the only ones who suffer are the foreign firms. C) Yes, consumers must pay higher prices. D) Yes, consumers must pay higher taxes. Show Answer Correct Answer: A) No, it helps domestic consumers, firms, and workers. 14. The international agency that administers trade agreements and settle disputes. A) ASEAN Free Trade Area. B) World Trade Organization. C) European Economic Community. D) ASEAN Economic Community. Show Answer Correct Answer: B) World Trade Organization. 15. When Import exceeds the Export then the disequilibrium will be deficit A) True. B) False. Show Answer Correct Answer: A) True. 16. This document proves that a policy has been taken out for goods in transit A) Certificate of Origin. B) Import Licence. C) Letters of Credit. D) Insurance Certificate. Show Answer Correct Answer: D) Insurance Certificate. 17. The international trade organization consisting of over 160 member nations is called the A) WTO. B) APEC. C) EU. D) G8. Show Answer Correct Answer: A) WTO. 18. To ease shipping goods across borders, protecting the value of Innovation, creativity and branding A) Non tariff measures. B) Countervailing protection. C) Intellectual property protection. D) Special taxes and duties. Show Answer Correct Answer: C) Intellectual property protection. 19. Occurs when a nation's exports exceed its imports A) Trade surplus. B) The trade fails. C) Export embargo. D) Trade barrier. Show Answer Correct Answer: A) Trade surplus. 20. Difference between imports and exports A) Balance of Trade. B) Credit. C) Debit. D) Balanced Trade. Show Answer Correct Answer: A) Balance of Trade. 21. Which of the following is an example of an imported good? A) A locally produced car. B) A foreign-made smartphone. C) A handcrafted local artwork. D) A domestically grown apple. Show Answer Correct Answer: B) A foreign-made smartphone. 22. What are intangible actions or tasks that can be bought or sold? A) Commodities. B) Services. C) Products. D) Goods. Show Answer Correct Answer: B) Services. 23. Which agreement created the largest free-trade zone in the world? A) ASEAN. B) EU. C) NAFTA. D) OPEC. Show Answer Correct Answer: C) NAFTA. 24. Methods of protectionismA government only buying from domestic producers, even if it means paying higher prices A) Non-competitive purchasing by governments. B) VER. C) Embargoes. D) Tariffs. E) Quotas. Show Answer Correct Answer: A) Non-competitive purchasing by governments. 25. What is the English name of World Health Organization? A) WHAT. B) WHO. C) WHERE. D) WHY. Show Answer Correct Answer: B) WHO. 26. It means one Company invest in another company? A) Product Investment. B) Company investment. C) Portfolio investment. D) Trade Investment. Show Answer Correct Answer: C) Portfolio investment. 27. The following parts of the creative economy subsector which are not abstract products are..... A) Craft. B) Software. C) Showbiz. D) Advertising. Show Answer Correct Answer: A) Craft. 28. The rate at which one currency is exchanged for another A) Canadian Dollar. B) Currency. C) Weight. D) Exchange. E) Exchange rate. Show Answer Correct Answer: E) Exchange rate. 29. The following are considered Transport Documents except ..... A) On Waybill. B) Bill of Lading. C) Purchase Order. D) None of the Above. Show Answer Correct Answer: C) Purchase Order. 30. The trade-weighted value of the dollar explains that when the dollar is strong, A) The trade deficit decreases. B) The trade deficit is not affected. C) The trade deficit increases. D) None of above. Show Answer Correct Answer: C) The trade deficit increases. ← 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