Quiznetik

Business Economics | Set 3

1. An international trading company of the Government of India _.

Correct : C. State Trading Corporation

2. Consular documents include _ _.

Correct : A. Certificate of origin

3. Trade barriers are often called _ _.

Correct : B. Protection

4. Redistribution effect is called _ .

Correct : D. Transfer effect

5. Imposing of tariff, raises domestic prices causing fall in consumption of domestic goods is     _ .

Correct : C. Consumption effect

6. _ _ is the World’s largest single market area.

Correct : A. European Union

7. At present, European Union consist of     _ member countries.

Correct : C. 28

8. When an economy union involves unifying currency it becomes _ .

Correct : C. Economic and Monetary Union

9. _ _ is an official institution of the European Union.

Correct : A. European Council

10. Euro is the official currency for _ _ member countries of European Union.

Correct : D. 19

11. The is the single currency of the European Union.

Correct : B. euro

12. _ _ is the second largest currency in the world.

Correct : B. Euro

13. _ _ became an ASEAN dialogue partner in 1995.

Correct : A. India

14. Look East Policy has now transformed into a     _ _.

Correct : B. Act East Policy

15. The referendum for Brexit was held on _ .

Correct : A. 2023-06-16 00:00:00

16. ASEAN was formed in .

Correct : A. 1947

17. _ is a statement of a systematic record of all economic transactions between one country and the rest of the world.

Correct : C. Balance of payments

18. Pick out the wrong statement.

Correct : C. Voluntary export restraint is an example of tariff barriers.

19. The consumption effect of tariffs forces consumers to _ _.

Correct : C. reduce their consumption due to tariffs.

20. Import embargo is an important retaiatory measure against_ _.

Correct : A. dumping

21. Which of the following Non – Tariff Barriers prevents free movement of capital between countries?

Correct : B. Exchange Controls

22. _ is a measure under which a commodity of a specific volume or value is allowed to be imported in the country.

Correct : C. Import quota

23. Which of these are objectives of import quotas?

Correct : A. Correcting disequilibrium in the balance of payment

24. In the _ account, only transactions relating to goods are entered.

Correct : C. trade

25. _ means a decline in the rate of exchange of one country in terms of another’s.

Correct : C. Exchange Depreciation

26. Restrictions on the use of foreign exchange by the Central bank are called _ .

Correct : A. exchange controls

27. _ are duties levied on imports.

Correct : A. Tariffs

28. Restrictions imposed on the quantity of imports is     _ .

Correct : B. Quotas

29. Balance of payment always _ __.

Correct : B. balances

30. _ term long run disequilibrium as fundamental disequilibrium.

Correct : B. IMF

31. WTO replaced _ in 1995.

Correct : A. GATT

32. TRIPs deals with _ .

Correct : A. intellectual property rights

33. Protection is made available for _ years for patents.

Correct : A. 20

34. The terms of _ is 50 years.

Correct : A. copyright

35. The current account of balance of payment does not include :

Correct : D. Foreign investment

36. Pick out the item which is not a part of unilateral transfers.

Correct : C. Loan

37. Donations, grants, gifts and such other payments which do not have counter obligations are known as :

Correct : C. Unilateral flows

38. If the deficits in a country’s BOP persists for a long time it is a case of :

Correct : B. Fundamental disequilibrium

39. Disequilibrium in the BOP caused by changes in the demand or supply relations of exports or imports or both refer to :

Correct : C. Structural disequilibrium

40. Which of the following is not a non monetary measure to correct the disequilibrium in BOP ?

Correct : D. Devaluation

41. TRIMS include measures to :

Correct : C. Treat foreign investment on par with domestic investment

42. Pick out the one which is not true of GATS :

Correct : C. No market access to service supplier’s

43. Pick out the feature which is not true of the Agreement on Agriculture.

Correct : C. Increase tariffs

44. In balance of payment account, all goods exported and imported are recorded in _ .

Correct : C. Invisible account

45. Gifts and charities account are also known as :

Correct : B. Unilateral transfer

46. In BOP, total receipts must be equal to total     _ .

Correct : A. payment

47. Reducing the value of domestic currency in term of foreign currency :

Correct : D. Devaluation

48. The current account in the balance of payments     _ .

Correct : B. includes merchandise trade and services

49. Good performance on _ has helped India to improve its current account balance in recent times.

Correct : B. invisible account

50. After covering deficits on current account, excess capital account receipts are added to _.

Correct : C. Foreign exchange reserves

51. Reducing public expenditure to correct BOP disequilibrium is a _ __ measure.

Correct : B. Fiscal

52. _ is not a cause of deficit in balance of payments.

Correct : D. capital inflows

53. Devaluation of a currency is brought about by the     _ .

Correct : D. Government

54. When total exports are more than total imports then current account of balance of payment is in     _ .

Correct : C. Surplus

55. _ _ disequilibrium is chronic in nature.

Correct : B. Fundamental

56. Expenditure switching policy is also known as     _ _ .

Correct : A. Devaluation

57. _ term long run disequilibrium as fundamental disequilibrium .

Correct : A. IMF

58. WTO replaced GATT and came into existence on

Correct : B. 1st January 1991

59. TRIPs stand for

Correct : C. Trade Related Intellectual Property Rights

60. Under _ the foreign investors will be given same rights as the national investor in the matter of investment.

Correct : B. TRIMs

61. GATs deals with trade in _ .

Correct : A. Services

62. TRIMs deals with _ .

Correct : A. Foreign investment

63. _ agreement deals in trade in services

Correct : C. GATs

64. The WTO agreements cover _ .

Correct : A. TRIPs

65. WTO promote _ trade.

Correct : B. multilateral

66. The only international organisation dealing with the global rules of trade between nations.

Correct : A. WTO

67. Along with the world bank and WTO is the third economic pillar of world-wide dimensions.

Correct : B. International Monetar

68. TRIPS (trade-related aspects of intellectual property rights) agreement is administered by

Correct : C. World trade organiz

69. Who is most recently appointed the Ambassador & Permanent Represantative of india to WTO?

Correct : D. Brajendra Navnit

70. Which of the institutions is not a part of the world bank community?

Correct : C. WTO

71. Which of the following categories of agricultural subsidies are allowed under WTO?

Correct : A. Green box

72. The declaration recognised that the TRIPs agreement should protect public health.

Correct : B. Doha

73. TRIMs deals with

Correct : A. Foreign investme

74. _ refers to the rate at which the transaction take place at a future date.

Correct : A. Forward exchange rate

75. _ refers to the process of buying and selling a foreign currency in two different market at same time.

Correct : A. Arbitrage

76. Transactions in the foreign exchange market are carried out are termed as _.

Correct : C. exchange rate

77. Demand for foreign exchange varies _ with the exchange rates.

Correct : C. inversely

78. When supply of foreign exchange is increased given the demand for foreign exchange, the rate of exchange _.

Correct : A. decrease

79. When demand for foreign exchange increases, the exchange rate _.

Correct : A. increases

80. The relative version is considered to be _ to absolute version.

Correct : A. superior

81. The relative version of the PPP theory is propounded by _.

Correct : A. Cassel

82. According to _ theory, the exchange rate between two currencies is determined by their purchasing power.

Correct : A. Purchasing Power Parity

83. The -----------is the largest market in the world.

Correct : A. foreign exchange market

84. The countries of the world are following the exchange rate system.

Correct : B. flexible

85. _ _ is a feature of the foreign exchange market which enables an investor to earn high returns.

Correct : B. Leverage

86. _has enabled faster growth of the foreign exchange market.

Correct : A. Technology

87. __ function refer to the function of converting one currency into another.

Correct : D. hedging

88. _ are authorized to deal in foreign exchange transactions.

Correct : C. Commercial banks

89. Investment in financial assets like shares or bonds abroad will _- the demand for foreign exchange.

Correct : A. inceae

90. A _ country requires more foreign exchange.

Correct : A. developing

91. Services rendered by the domestic country to foreign counter parts increase the _ of foreign exchange.

Correct : A. supply

92. Unilateral payments received _ _ the supply of foreign exchange.

Correct : A. increase

93. _ rate variations can affect the equilibrium exchange rate.

Correct : C. inflation

94. Interest rate differentials the exchange rate.

Correct : A. affect

95. The degree of _ achieved affect the exchange rate.

Correct : C. growth

96. The purchasing power parity theory the difference in the quality of goods.

Correct : C. ignores

97. The PPP theory _ capital transfers.

Correct : C. ignores

98. The _rate is determined by the demand for and supply of a currency.

Correct : A. spot

99. The differencbetween bid price and ask price s the _

Correct : B. profit

100. _ exchange rate may be either at a premium or discount or at par.

Correct : B. forward