This quiz works best with JavaScript enabled. Home > Finance > Economics > International Economics > International Trade > International Trade – Quiz 91 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books International Trade Quiz 91 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Imports and exports are accounted for in a country's current account in the ..... A) Balance of payments. B) Balance of pay. C) Payments of balance. D) None of above. Show Answer Correct Answer: A) Balance of payments. 2. What are the two broad subfield that divides the economics of the international economy? A) International Trade and International Money. B) International Tariff and International Profit. C) International Business and International Investment. D) International Government and International Currency. Show Answer Correct Answer: A) International Trade and International Money. 3. What is the purpose of a trade barrier A) Protectionism. B) A way to stop or slowdown certain foreign products from freely coming into a country. C) Trade restriction. D) Quota. Show Answer Correct Answer: B) A way to stop or slowdown certain foreign products from freely coming into a country. 4. A document that a government issues to an exporter granting permission to sell certain goods to a given country A) Letters of Credit. B) Export Licence. C) Import Licence. D) Manifest. Show Answer Correct Answer: B) Export Licence. 5. If trade was not possible, consumers would not enjoy a greater variety of goods. A) True. B) False. Show Answer Correct Answer: A) True. 6. The text is about ..... A) Means of transportation. B) Means of communication. C) Means of international transportation. D) None of above. Show Answer Correct Answer: C) Means of international transportation. 7. When the United States dollar depreciates, which of the following is a likely effect? A) Japanese stop investing in American businesses. B) Travel abroad becomes more affordable. C) United States imports increase. D) United States exports increase. Show Answer Correct Answer: D) United States exports increase. 8. The theory of country similarity claims that ..... determines trade between firms. A) Firm efficiency. B) Similar stage of development. C) Factor endowment. D) Size of industry. Show Answer Correct Answer: B) Similar stage of development. 9. Which currency is widely accepted and used throughout Canada? A) Canadian Pesos. B) Dollars. C) Canadian Dollars. D) Pesos. Show Answer Correct Answer: C) Canadian Dollars. 10. Import substitution economics promotes competition. A) Wrong. B) TRUE. Show Answer Correct Answer: A) Wrong. 11. Many countries want to protect their local industries from foreign competition A) NATIONAL POLICIES. B) DOCUMENTATION. C) PROTECTIONISM. D) None of above. Show Answer Correct Answer: C) PROTECTIONISM. 12. What is International Business? A) Devised transactions in advance. B) Links all cities, institutions and individuals. C) International integration and manufacturing process and national market for good and services. D) Process of liberalization of national economics, reducing tade restrictions or barries, free movement of foreign direct investment, stregthening the role of international companies in the international production. Show Answer Correct Answer: D) Process of liberalization of national economics, reducing tade restrictions or barries, free movement of foreign direct investment, stregthening the role of international companies in the international production. 13. What are tangible products that can be bought or sold? A) Intangible assets. B) Goods. C) Digital goods. D) Services. Show Answer Correct Answer: B) Goods. 14. In ..... there is only one (dominant) seller. That company offers a product to the market that has no substitute. A) Monopolies. B) Oligopoly. C) Imperfect competition. D) Perfect competition. Show Answer Correct Answer: A) Monopolies. 15. A country that has a lower opportunity cost of producing a good: A) Has a comparative advantage. B) Can produce the good using fewer resources than another country. C) Requires fewer labor hours to produce the good. D) All of the answers are correct. Show Answer Correct Answer: B) Can produce the good using fewer resources than another country. 16. In portfolio analysis, when there are many suppliers who can provide products or are easy to find, this is an example of a quadrant A) Critical. B) Routine. C) Bottleneck. D) Leverage. Show Answer Correct Answer: B) Routine. 17. A tax placed on imports A) Duty Tax. B) Quota. C) Tariff. D) Protectionism. Show Answer Correct Answer: C) Tariff. 18. Absolute advantage theory was proposed by ..... in 1776. A) Adam Smith. B) David Ricardo. C) John Dunning. D) Karl Marx. Show Answer Correct Answer: A) Adam Smith. 19. Providing a forum for intergovernmental celebrations, undertaking research, policy analysis and data collection, Providing technical assistance to developing countries. A) GATT. B) WIPO. C) EU. D) UNCTAD. Show Answer Correct Answer: D) UNCTAD. 20. Letter of credit also called ..... A) Documentary collection. B) Bank collection. C) Documentary credit. D) Bank remittance. Show Answer Correct Answer: C) Documentary credit. 21. When a country imports more than it exports A) Trade Surplus. B) Free trade. C) Trade Failure. D) Trading Blocs. Show Answer Correct Answer: C) Trade Failure. 22. Mr. Anello's daughter's name is ..... A) Madison. B) Olivia. C) Aubrey. D) Laura. Show Answer Correct Answer: C) Aubrey. 23. What is the purpose of the trade network? A) To maximize exports and minimize imports. B) To create barriers to international trade. C) To increase the country's supply of gold. D) To import goods and services from foreign trading partners. Show Answer Correct Answer: D) To import goods and services from foreign trading partners. 24. A policy concerned with money supply and credit in the economy. A) Commercial policy. B) Inflation. C) Fiscal policy. D) Monetary policy. Show Answer Correct Answer: D) Monetary policy. 25. The benefits of centers of economic excellence for the cultural life of society are..... A) Integration within a community group. B) Increasing the development of transportation facilities and infrastructure. C) Various kinds of social institutions emerged. D) An increase in the number of jobs that will be filled by the community. Show Answer Correct Answer: B) Increasing the development of transportation facilities and infrastructure. 26. When did international trade begin to increase? A) After WWII. B) Before WWII. C) After the Civil War. D) After WWI. Show Answer Correct Answer: A) After WWII. 27. WHY ARE TARIFFS USED? A) TO PROTECT DOMESTIC JOBS AND INDUSTRIES. B) TO RAISE REVENUE FOR GOVERNMENT. C) TO PROTECT STRATEGIC INDUSTRIES. D) ALL OF THE ABOVE. Show Answer Correct Answer: D) ALL OF THE ABOVE. 28. Increasing businesses and high income let the country to export its services and goods. A) True. B) False. Show Answer Correct Answer: A) True. 29. A way for foreign currency and expertise to enter a country allowing for advancement A) Growth in GDP. B) GDP. C) Foreign direct investment. D) FID. Show Answer Correct Answer: C) Foreign direct investment. 30. It is the foundation principle of international trade and uses scarce resources efficiently for example if the Philippines is good when it comes to exporting its people A) Comparative Advantage Principle. B) Absolute Advantage. C) Economic principles. D) Mercantilism. Show Answer Correct Answer: A) Comparative Advantage Principle. ← 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