#1
Which organization is responsible for regulating international trade and enforcing trade agreements?
United Nations (UN)
World Trade Organization (WTO)
International Monetary Fund (IMF)
World Bank
#2
Which of the following is an example of a trade barrier?
Tariff
Free trade agreement
Export subsidy
Trade liberalization
#3
What is a trade deficit?
When a country's exports exceed its imports
When a country's imports exceed its exports
When a country's imports and exports are equal
When a country's trade is balanced
#4
What is the primary purpose of a trade agreement?
To increase tariffs on imports
To decrease exports to foreign countries
To establish rules and reduce barriers to trade
To restrict the movement of goods and services
#5
Which international organization provides financial assistance and technical support to developing countries for development projects?
World Trade Organization (WTO)
International Monetary Fund (IMF)
World Bank
United Nations (UN)
#6
What is the purpose of a letter of credit in international trade?
To ensure the quality of goods traded
To provide insurance against trade risks
To facilitate payment between buyer and seller
To determine the customs duties
#7
Which trade policy aims to protect domestic industries by imposing restrictions on imports?
Import substitution
Export promotion
Trade liberalization
Trade facilitation
#8
What is the purpose of a trade embargo?
To promote international trade
To facilitate trade negotiations
To restrict trade with a particular country
To encourage free trade
#9
Which trade policy aims to eliminate all trade barriers and restrictions?
Protectionism
Trade liberalization
Import substitution
Dumping
#10
What is the main objective of a trade surplus?
To decrease domestic production
To increase foreign debt
To boost domestic employment
To decrease exports
#11
What is the 'Most Favored Nation' principle in international trade?
Granting preferential treatment to certain trading partners
Imposing tariffs equally on all trading partners
Bilateral trade agreements
Unrestricted free trade between specific nations
#12
What is the role of the General Agreement on Tariffs and Trade (GATT) in international trade?
To provide loans to developing countries
To regulate exchange rates
To promote fair trade practices
To regulate labor standards
#13
What is the difference between a quota and a tariff in international trade?
A quota restricts the quantity of imports, while a tariff is a tax on imports
A tariff restricts the quantity of imports, while a quota is a tax on imports
They have the same effect and are used interchangeably
A tariff applies only to specific goods, while a quota applies to all imports
#14
Which trade policy involves selling goods in foreign markets at a price lower than the cost of production?
Export promotion
Dumping
Import substitution
Trade liberalization