Question 1

Reducing public expenditure to correct BOP disequilibrium is a -------measure.&#10;A)Monetary&#10;B)Fiscal&#10;C)Special&#10;D)Commercial

Accepted Answer

Reducing public expenditure to correct Balance of Payments (BOP) disequilibrium is a fiscal measure. Fiscal policy involves government spending and taxation policies to influence the economy, including addressing imbalances in the BOP.

Question 2

-------is not a cause of deficit in balance of payments.&#10;A)increase in import&#10;B)fall in exports&#10;C)capital outflow&#10;D)capital inflows

Accepted Answer

Capital inflows actually help to improve the balance of payments by bringing money into the country, unlike the other options which can worsen the deficit by either increasing money outflow or reducing money inflow.

Question 3

Devaluation of a currency is brought about by the -------.&#10;A)World Bank&#10;B)Asian Development Bank&#10;C)International Finance Corporation&#10;D)Government

Accepted Answer

Devaluation of a currency is typically a decision made by a country's government or its central bank as a monetary policy tool, not by international financial institutions.

Question 4

When total exports are more than total imports then current account of balance of payment is in -------.&#10;A)Deficit&#10;B)Balance&#10;C)Surplus&#10;D)Unequal

Accepted Answer

When total exports exceed total imports, it means that the country is selling more goods and services to the rest of the world than it is buying from them. This results in a net inflow of money from foreign countries, leading to a current account surplus.

Question 5

-------disequilibrium is chronic in nature.&#10;A)Cyclical&#10;B)Fundamental&#10;C)Structural&#10;D)Monetary

Accepted Answer

The answer of -------disequilibrium is chronic in nature.&#10;A)Cyclical&#10;B)Fundamental&#10;C)Structural&#10;D)Monetary...

Question 6

Expenditure switching policy is also known as -------.&#10;A)Devaluation&#10;B)Revaluation&#10;C)Appreciation&#10;D)Depriciation

Accepted Answer

Expenditure switching policy often involves devaluation, which is a deliberate downward adjustment of a country's currency value relative to another currency, group of currencies, or standard. This policy aims to make domestic goods and services cheaper for foreigners and foreign goods and services more expensive for domestic consumers, thereby switching expenditure from foreign to domestic products.

Question 7

-------term long run disequilibrium as fundamental disequilibrium .&#10;A)IMF&#10;B)UN&#10;C)WTO&#10;D)World Bank

Accepted Answer

The International Monetary Fund (IMF) uses the term "fundamental disequilibrium" to describe a situation where a country's balance of payments is imbalanced in a way that cannot be corrected without adjusting the exchange rate or implementing structural reforms. This concept is particularly relevant in the context of the IMF's role in providing financial assistance and policy advice to countries facing balance of payments problems.

Question 8

WTO replaced GATT and came into existence on&#10;A)1st January 1957&#10;B)1st January 1991&#10;C)1st January 1995&#10;D)1st January 1996&#10;

Accepted Answer

The World Trade Organization (WTO) replaced the General Agreement on Tariffs and Trade (GATT) and came into existence on 1st January 1991.

Question 9

TRIPs stand for&#10;A)Trade Related Investment Property Rights&#10;B)Trade Related Investment Public Rights&#10;C)Trade Related Intellectual Property Rights&#10;D)Trade Related Investment in services

Accepted Answer

TRIPs stands for Trade Related Intellectual Property Rights, which is an international legal agreement between all the member nations of the World Trade Organization. It sets down minimum standards for many forms of intellectual property (IP) regulation as applied to nationals of other WTO Members.

Question 10

Under -------the foreign investors will be given same rights as the national investor in the matter of investment.&#10;A)TRIPs&#10;B)TRIMs&#10;C)GATs&#10;D)AoA

Accepted Answer

TRIMs (Trade-Related Investment Measures) agreement under the WTO aims to ensure that foreign investors are treated the same as national investors in terms of the regulation of investment.

Question 11

GATs deals with trade in -------.&#10;A)Services&#10;B)patent&#10;C)copyright&#10;D)trademarks

Accepted Answer

The answer of GATs deals with trade in -------.&#10;A)Services&#10;B)patent&#10;C)copyright&#10;D)trademarks...

Question 12

TRIMs deals with -------.&#10;A)Foreign investment&#10;B)Foreign aid&#10;C)Services&#10;D)Goods

Accepted Answer

The answer of TRIMs deals with -------.&#10;A)Foreign investment&#10;B)Foreign aid&#10;C)Services&#10;D)Goods...

Question 13

-------agreement deals in trade in services&#10;A)TRIMs&#10;B)TRIPs&#10;C)GATs&#10;D)UNCTAD

Accepted Answer

The answer of -------agreement deals in trade in services&#10;A)TRIMs&#10;B)TRIPs&#10;C)GATs&#10;D)UNCTAD...

Question 14

The WTO agreements cover -------.&#10;A)TRIPs&#10;B)IMF&#10;C)UNCTAD&#10;D)ASEAN

Accepted Answer

The answer of The WTO agreements cover -------.&#10;A)TRIPs&#10;B)IMF&#10;C)UNCTAD&#10;D)ASEAN...

Question 15

WTO promote -------trade.&#10;A)bilateral&#10;B)multilateral&#10;C)unilateral&#10;D)restricted

Accepted Answer

The answer of WTO promote -------trade.&#10;A)bilateral&#10;B)multilateral&#10;C)unilateral&#10;D)restricted...

Question 16

The only international organisation dealing with the global rules of trade between nations.&#10;A)WTO&#10;B)UN&#10;C)IMF&#10;D)World bank

Accepted Answer

The answer of The only international organisation dealing with the...

Question 17

Along with the world bank and WTO is the third economic pillar of world-wide dimensions.&#10;A)International eco&#10;B)International Monetar&#10;C)International Develo&#10;D)International funding or

Accepted Answer

The answer of Along with the world bank and WTO...

Question 18

TRIPS (trade-related aspects of intellectual property rights) agreement is administered by&#10;A)world bank&#10;B)united nations organiz&#10;C)World trade organiz&#10;D)United nations conferen

Accepted Answer

The answer of TRIPS (trade-related aspects of intellectual property rights)...

Question 19

Who is most recently appointed the Ambassador & Permanent Represantative of india to WTO?&#10;A)JS Deepak&#10;B)TS Deepak&#10;C)Anwar Hussain Shai&#10;D)Brajendra Navnit

Accepted Answer

The answer of Who is most recently appointed the Ambassador...

Question 20

Which of the institutions is not a part of the world bank community?&#10;A)IFC&#10;B)IDA&#10;C)WTO&#10;D)IBRD

Accepted Answer

The answer of Which of the institutions is not a...

Question 21

Which of the following categories of agricultural subsidies are allowed under WTO?&#10;A)Green box&#10;B)Blue box&#10;C)Red box&#10;D)Amber box

Accepted Answer

The answer of Which of the following categories of agricultural...

Question 22

The declaration recognised that the TRIPs agreement should protect public health.&#10;A)Brazil&#10;B)Doha&#10;C)Bandung&#10;D)Singapore

Accepted Answer

The answer of The declaration recognised that the TRIPs agreement...

Question 23

TRIMs deals with&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#10;A)Foreign investme&#10;B)Foreign aid&#10;C)Services&#10;D)Goods

Accepted Answer

The answer of TRIMs deals with&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#10;A)Foreign investme&#10;B)Foreign aid&#10;C)Services&#10;D)Goods...

Question 24

-------refers to the rate at which the transaction take place at a future date.&#10;A)Forward exchange rate&#10;B)Arbitrage&#10;C)Spot exchange rate&#10;D)Hedging&#10;

Accepted Answer

The answer of -------refers to the rate at which the...

Question 25

-------refers to the process of buying and selling a foreign currency in two different market at same time.&#10;A)Arbitrage&#10;B)Speculation&#10;C)Spot exchange rate&#10;D)Hedging

Accepted Answer

The answer of -------refers to the process of buying and...

Deck 11: International Trade and Finance