GK: Foreign Trade (Economics)

GK: Foreign Trade (Economics) 

1. What is the purpose of the Indian Brand Equity fund?

A) To promote in bound tourism
B) To make 'made in India' a lebel of quality.
C) To organised trade fair
D) to provide venture capital to IT sector.

... Answer is B)

2. Which of the following known s the third pillar in international economic relations/

A) IMF
B) World Bank
C) WTO
D) GATT

... Answer is C)

3.foreign exchange rate means the rate at which the currency of one country can be traded for:

A) The currency of any other country in the foreign exchange market.
B) US Dollar, which is the strongest currency in any foreign exchange market.
C) A fixed basket of currencies consisting of dollars, Yes and pound.
D) The currency of any other country as determined by the International onetary Fund.

... Answer is A)

4. Which one of the following sequences is in correct chronological order that ultimately led to the setting up of World Trade organisation (WTO)?

A) GATT, Uruguay rounds, Dunkel Draft, Marrakesh Treaty.
B) GATT, Uruguay rounds, Marrakesh Treaty, Dunkel Draft.
C) GATT, Dunkel Draft Uruguay rounds, , Marrakesh Treaty.
D) GATT, Marrakesh Treaty, Uruguay rounds, Dunkel Draft.

... Answer is A)
GATT= general Aggrement on Tarriffs and Trade.

5. The practice of selling goods in a foreign country at a price below their domestic selling price is called:

A) Discrimination
B) Double pricing
C) Monopoly price
D) Dumping

... Answer is D)

6.in which one of the following places was Asia's first Export processing Zone (EPZ) set up?

A) Kandla
B) Surat
C) Cochin
D) Santa Cruz

... Answer is A)

7. A trade policy consists of:

A) Export- Import Policy
B) Licencing policy
C) Foreign exchange Policy
D) Balance of payment Policy.

... Answer is A)

8.Special Economic Zone (SEZ) Act became effective in

A) 2003
B) 2004
C) 2005
D) 2006

... Answer is D)

9.The World Trade Organization (WTO) was formed in:

A) 1991
B) 1995
C) 1996
D) 1997

... Answer is B)

10.at present as per government ruling, the maximum area allowed for a Special Economic Zone (SEZ) is:

A) 2500 hectares
B) 4000 hectares
C) 5000 hectares
D) 6000 hectares

... Answer is C)

11. TRIPS and TRIMS are the term associated with:

A) IMF
B) WTO
C) IBRD
D) IDA

... Answer is B)
TRIPS= Agreement on Trade-Related Aspects of Intellectual Property Rights, TRIMS= Agreement on Trade-Related Investment Measures

12.The earlier name of the WTO are:

A) UNCTAD
B) GATT
C) UNIDO
D) OECD

... Answer is B)

13. The exchange of commodities between two countries is referred as:

A) Balance of trade
B) Bilateral trade
C) Volumn of trade
D) Multilateral trade

... Answer is B)

14. Assertion (A): Balance of payment represents better picture of a country economic transactions with the rest of the world than Balance of Trade. Reason (R): Balance of Payment takes into account the exchange of both visible and invisible items whereas balance of trade does not.

A) Both assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
B) Both assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).
C) Assertion (A) is true but Reason (R) is false.
D) Assertion (A) is false but Reason (R) is true.

... Answer is A)

15. the full form of SEZ is:

A) Small Economic Zone
B) Special Enforcement Zone
C) Special Economic Zone
D) Service and Economic Zone

... Answer is C)

16.NAMA-11 group of countries frequently apprears in the news in the context of the affairs of which one of the following?

A) Nuclear Supplier Group
B) World Bank
C) World Economic Forum
D) World Trade Organization.

... Answer is D)
NAMA= Non- Agricultural Market Access.

17. 'Balance of Trade' refer to:

A) It is the statement of receipt from foreign countries and payments made to foreign countries.
B) It is the statement of the total value of GDP and share of imports in it in terms of the percentage of GDP.
C) It is the statement of total receipts of the Government and its share in total GDP in terms of percentage.
D) Both (a) and b)

... Answer is A)

18.Assertion (A): The rate of growth of India's exports has shown an apprciable increase after 1991. Reason (R): The government of India has resorted to devaluation.

A) Both assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
B) Both assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).
C) Assertion (A) is true but Reason (R) is false.
D) Assertion (A) is false but Reason (R) is true.

... Answer is A)

19. 'Trade Gap' means:

A) Gap between total imports and total exports.
B) Gap between total GDP and total consumption.
C) Gap between available liquidity and expected demand.
D) Gap between budgeted revenue collection and actual collection of the same.

... Answer is A)

20. 'MFN Clause' is one of the main pillars on which:

A) WTO is based
B) IMF is based
C) IBRD is based
D) IDA is based

... Answer is A)
most-favoured-nation treatment (MFN)