#1
Which organization is responsible for setting international trade rules?
United Nations
World Trade Organization
International Monetary Fund
World Bank
#2
Which country is the largest exporter of goods in the world?
China
United States
Germany
Japan
#3
Which of the following is not a type of trade barrier?
Quotas
Subsidies
Tariffs
Economic integration
#4
Which term refers to the practice of selling goods and services to a foreign market at a price lower than the domestic price?
Trade surplus
Dumping
Trade deficit
Protectionism
#5
Which term refers to a situation where a country exports more than it imports?
Trade deficit
Trade surplus
Balance of trade
Current account surplus
#6
Which trade theory suggests that countries should specialize in producing and exporting goods in which they have a comparative advantage?
Mercantilism
Absolute advantage theory
Heckscher-Ohlin theory
Comparative advantage theory
#7
What does 'GATT' stand for in the context of international trade?
Global Agreement on Tariffs and Trade
General Agreement on Trade and Tariffs
General Agreement on Tariffs and Trade
Global Association of Trade and Tariffs
#8
What is the 'balance of trade'?
The difference between a country's imports and exports of goods
The amount of currency held by a country's central bank
The ratio of government spending to tax revenue
The amount of debt a country holds
#9
What is the main purpose of trade barriers?
To promote free trade
To encourage imports
To restrict imports and protect domestic industries
To reduce government revenue
#10
What is 'dumping' in the context of international trade?
The process of recycling materials from traded goods
Selling goods in a foreign market at a price lower than the domestic market
Exchanging goods without any profit
Trading goods without government regulations
#11
What is the main objective of the General Agreement on Tariffs and Trade (GATT)?
To eliminate all tariffs on trade
To reduce barriers to international trade
To promote isolationism
To increase subsidies for domestic industries
#12
What is the primary goal of trade liberalization?
To increase government intervention in trade
To restrict international trade
To reduce barriers and promote free trade
To encourage protectionist policies
#13
Which trade theory suggests that a country should specialize in producing goods for which it has the lowest opportunity cost?
Heckscher-Ohlin theory
Comparative advantage theory
Mercantilism
Absolute advantage theory
#14
Which trade theory emphasizes the role of factor endowments in determining comparative advantage?
Absolute advantage theory
Heckscher-Ohlin theory
Comparative advantage theory
New trade theory
#15
Which trade theory suggests that trade is determined by economies of scale and product differentiation?
Heckscher-Ohlin theory
Comparative advantage theory
New trade theory
Absolute advantage theory