#1
Which of the following is a benefit of international trade?
Increased unemployment
Reduced economic growth
Diversification of resources and markets
Isolation from global markets
#2
What does GDP stand for in the context of international trade?
Global Development Plan
Gross Domestic Product
General Duty Preference
Global Demand Protocol
#3
Which international financial institution provides loans to developing countries for capital programs?
International Monetary Fund (IMF)
World Bank
Asian Development Bank (ADB)
European Central Bank (ECB)
#4
What is the concept of 'commodity fetishism' in the context of international trade?
The belief that all commodities have equal value
The devaluation of currency
Overemphasis on the physical characteristics of goods
Promotion of fair trade practices
#5
Which economic concept is associated with the idea that a country can benefit from producing a good even if it is less efficient than other countries in producing that good?
Absolute advantage
Opportunity cost
Comparative advantage
Marginal utility
#6
Which international organization promotes free trade by reducing trade barriers?
World Health Organization (WHO)
International Monetary Fund (IMF)
World Trade Organization (WTO)
United Nations (UN)
#7
What is the term for a situation where a country exports more than it imports?
Trade deficit
Trade surplus
Balance of payments
Current account deficit
#8
What is the purpose of a trade tariff?
To encourage international cooperation
To reduce government revenue
To discourage imports and protect domestic industries
To promote currency exchange rates
#9
In the context of globalization, what does FDI stand for?
Foreign Direct Investment
Free Democratic Institutions
Fiscal Development Index
Financial Debt Instrument
#10
What is the primary goal of protectionism in international trade?
To encourage free trade
To promote economic efficiency
To protect domestic industries from foreign competition
To stabilize currency exchange rates
#11
Which economic theory suggests that a country should specialize in producing goods in which it has a comparative advantage?
Absolute advantage
Mercantilism
Comparative advantage
Keynesian economics
#12
Which trade agreement involves the United States, Canada, and Mexico?
EU-UK Trade Agreement
Trans-Pacific Partnership (TPP)
North American Free Trade Agreement (NAFTA)
ASEAN Free Trade Area (AFTA)
#13
What is the concept of 'dumping' in international trade?
Selling goods abroad at a lower price than in the domestic market
Increasing export taxes
Currency manipulation
Promoting fair competition
#14
Which international trade theory argues that a country should specialize in the production of goods it can produce most efficiently, even if it doesn't have an absolute advantage in those goods?
Heckscher-Ohlin model
New Trade Theory
Theory of Comparative Advantage
Ricardian model
#15
What is the purpose of a trade embargo?
To promote economic cooperation
To foster diplomatic relations
To restrict trade with a specific country for political reasons
To encourage foreign investment