Question 1

An international trading company of the Government of India -------.&#10;A)State Transport Corporation&#10;B)State Service Corporation&#10;C)State Trading Corporation&#10;D)All of the above

Accepted Answer

The State Trading Corporation is an international trading company owned by the Government of India.

Question 2

Consular documents include -------.&#10;A)Certificate of origin&#10;B)Export certificates&#10;C)Uncertified consular invoices&#10;D)Bills of exchange

Accepted Answer

Certificate of origin&#10;

Question 3

Trade barriers are often called -------.&#10;A)Free trade&#10;B)Protection&#10;C)Trade wars&#10;D)Economic integration

Accepted Answer

Trade barriers are often referred to as "protection" because they are used to protect domestic industries from foreign competition by imposing restrictions such as tariffs, quotas, and regulations.

Question 4

Redistribution effect is called -------.&#10;A)Revenues effect&#10;B)Consumption effect&#10;C)Productive effect&#10;D)Transfer effect

Accepted Answer

The redistribution effect is called the "Transfer effect" because it involves transferring income or wealth from one group of individuals to another, without necessarily creating new wealth or value. This is often associated with government policies or mechanisms that aim to reduce inequalities by redistributing resources.

Question 5

Imposing of tariff, raises domestic prices causing fall in consumption of domestic goods is -------.&#10;A)Protective effect&#10;B)Revenue effect&#10;C)Consumption effect&#10;D)Terms of trade effect

Accepted Answer

The consumption effect refers to the decrease in domestic consumption of goods that occurs when tariffs raise the prices of imported goods, making them more expensive compared to domestic goods. This can lead to a fall in the overall consumption of these goods as consumers may reduce their purchases due to higher prices.

Question 6

-------is the World's largest single market area.&#10;A)European Union&#10;B)India&#10;C)Pakisthan&#10;D)Srilanka

Accepted Answer

The European Union (EU) is the world's largest single market area, allowing goods, services, money, and people to move freely within its member countries.

Question 7

At present, European Union consist of -------member countries.&#10;A)26&#10;B)27&#10;C)28&#10;D)None of these above

Accepted Answer

The answer of At present, European Union consist of -------member...

Question 8

When an economy union involves unifying currency it becomes -------.&#10;A)Customs Union&#10;B)Trade Union&#10;C)Economic and Monetary Union&#10;D)Trade area

Accepted Answer

An Economic and Monetary Union involves the integration of member countries' economies and the unification of their currencies. This goes beyond a customs union or trade area, which may involve the removal of trade barriers and the coordination of external trade policies, but not necessarily a shared currency.

Question 9

-------is an official institution of the European Union.&#10;A)European Council&#10;B)European Parliament&#10;C)European Commission&#10;D)European Investment Bank

Accepted Answer

The answer of -------is an official institution of the European...

Question 10

Euro is the official currency for -------member countries of European Union.&#10;A)16&#10;B)17&#10;C)18&#10;D)19

Accepted Answer

As of my last update in 2023, the euro is the official currency for 19 member countries of the European Union.

Question 11

-------is the second largest currency in the world.&#10;A)Dollar&#10;B)Euro&#10;C)Yen&#10;D)Pound

Accepted Answer

The answer of -------is the second largest currency in the...

Question 12

-------became an ASEAN dialogue partner in 1995.&#10;A)India&#10;B)Pakisthan&#10;C)Srilanka&#10;D)USA

Accepted Answer

The answer of -------became an ASEAN dialogue partner in 1995.&#10;A)India&#10;B)Pakisthan&#10;C)Srilanka&#10;D)USA...

Question 13

Look East Policy has now transformed into a -------.&#10;A)Act European Policy&#10;B)Act East Policy&#10;C)Act West Policy&#10;D)East Asia Policy

Accepted Answer

The answer of Look East Policy has now transformed into...

Question 14

The referendum for Brexit was held on -------.&#10;A)2023-06-16 00:00:00&#10;B)2023-06-17 00:00:00&#10;C)2023-08-17 00:00:00&#10;D)2023-06-18 00:00:00

Accepted Answer

The answer of The referendum for Brexit was held on...

Question 15

ASEAN was formed in .&#10;A)1947&#10;B)1967&#10;C)1977&#10;D)1987

Accepted Answer

The answer of ASEAN was formed in .&#10;A)1947&#10;B)1967&#10;C)1977&#10;D)1987...

Question 16

Pick out the wrong statement.&#10;A)Tariff restricts t&#10;B)Import quotas have a direct effect in reducing imports&#10;C)Voluntary export restraint is an example of tariff barriers.&#10;D)An export subsidy is a government grant given to an export firm

Accepted Answer

The answer of Pick out the wrong statement.&#10;A)Tariff restricts t&#10;B)Import...

Question 17

The consumption effect of tariffs forces consumers to -------.&#10;A)increase their consumption due to tariffs.&#10;B)pay lower price due to tariffs.&#10;C)reduce their consumption due to tariffs.&#10;D)depend on imports for consumption

Accepted Answer

The answer of The consumption effect of tariffs forces consumers...

Question 18

Import embargo is an important retaiatory measure against-------.&#10;A)dumping&#10;B)exports&#10;C)domestic producer&#10;D)domestic farmers

Accepted Answer

The answer of Import embargo is an important retaiatory measure...

Question 19

Which of the following Non - Tariff Barriers prevents free movement of capital between countries?&#10;A)preferential government procurement&#10;B)Exchange Controls&#10;C)Domestic subsidie&#10;D)Local content requirement

Accepted Answer

The answer of Which of the following Non - Tariff...

Question 20

-------is a measure under which a commodity of a specific volume or value is allowed to be imported in the country.&#10;A)Voluntary Export Restraints&#10;B)Combined duty&#10;C)Import quota&#10;D)Revenue tariff

Accepted Answer

The answer of -------is a measure under which a commodity...

Question 21

Which of these are objectives of import quotas?&#10;A)Correcting disequilibrium in the balance of payment&#10;B)To allow dumping&#10;C)To allow speculative activities&#10;D)To allow excess supply in the domestic economy

Accepted Answer

The answer of Which of these are objectives of import...

Question 22

In the -------account, only transactions relating to goods are entered.&#10;A)invisible account&#10;B)Capital account&#10;C)trade&#10;D)Current account

Accepted Answer

The answer of In the -------account, only transactions relating to...

Question 23

-------means a decline in the rate of exchange of one country in terms of another's.&#10;A)Deflation&#10;B)Tariff&#10;C)Exchange Depreciation&#10;D)exchang devaluation

Accepted Answer

The answer of -------means a decline in the rate of...

Deck 9: International Trade and Economic Policies