#1
Which international organization is responsible for promoting free trade and reducing trade barriers?
World Trade Organization (WTO)
ExplanationPromotes free trade and reduces trade barriers globally.
#2
What is the primary purpose of the International Monetary Fund (IMF)?
Maintaining global financial stability
ExplanationEnsures stability in global finances.
#3
Which economic indicator is used to measure the overall health of a country's economy and is calculated as the total value of all goods and services produced within a country in a specific time period?
Gross Domestic Product (GDP)
ExplanationQuantifies the total economic output of a nation.
#4
In the context of international trade, what does the term 'FTA' stand for?
Free Trade Area
ExplanationDesignates a region with reduced or eliminated trade barriers.
#5
Which economic theory suggests that a government should not interfere with market forces and should let the market operate freely?
Laissez-faire economics
ExplanationAdvocates for minimal government intervention in markets.
#6
What is the 'Balance of Payments' in international economics?
The difference between a country's exports and imports of goods and services
ExplanationMeasures the flow of currency resulting from trade.
#7
What is the purpose of the General Agreement on Tariffs and Trade (GATT) in international trade?
Reducing trade barriers and tariffs
ExplanationAims to lower barriers to international trade.
#8
What is the primary objective of the Organization of the Petroleum Exporting Countries (OPEC)?
Regulating oil prices and production
ExplanationManages oil production and pricing.
#9
Which international economic organization focuses on providing financial assistance and support to developing countries?
World Bank
ExplanationOffers aid and financing to developing nations.
#10
What is the primary function of the World Bank in international economic relations?
Providing financial assistance for infrastructure projects in developing countries
ExplanationFunds development projects in poorer nations.
#11
In the context of international economic relations, what does the term 'Dumping' refer to?
Exporting goods at a price lower than the production cost
ExplanationSelling products abroad at prices below production costs.
#12
Which international agreement aims to combat climate change by reducing greenhouse gas emissions?
Paris Agreement
ExplanationSeeks to mitigate global warming through emissions reductions.
#13
What is the primary purpose of the World Trade Organization's Dispute Settlement Body (DSB)?
Adjudicating disputes related to international trade agreements
ExplanationResolves conflicts arising from trade disputes.
#14
In the context of international economic relations, what does the term 'Bretton Woods' refer to?
A set of agreements establishing the post-World War II international monetary system
ExplanationDefines the global financial system after WWII.
#15
Which economic concept emphasizes the idea that individuals, businesses, and governments should make decisions based on self-interest to maximize their own welfare?
Rational choice theory
ExplanationAdvocates self-interested decision-making.
#16
What is the primary objective of the European Central Bank (ECB) in the European Union?
Controlling inflation and maintaining price stability
ExplanationManages inflation and price levels in the EU.