This quiz works best with JavaScript enabled. Home > Economics > International > Trade > Trade Exchange And Interdependence – Quiz 12 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Trade Exchange And Interdependence Quiz 12 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. A country is trying to build by a nuclear arms program that might threatened national security. What is the BEST trade barrier option against that country? A) Currency exchange. B) Quota. C) Tariff. D) Embargo. Show Answer Correct Answer: D) Embargo. 2. The lowering or elimination of protective tariffs and other trade barriers between two or more nations. A) Embargos. B) Trade Barriers. C) Free Trade. D) Foreign Exchange Rate. Show Answer Correct Answer: C) Free Trade. 3. What are goods called that are brought into one country from another? A) Bartering. B) Imports. C) Exports. D) Specialization. Show Answer Correct Answer: B) Imports. 4. Cash crops in the English colonies such as tobacco, rice, and indigo were sold in Europe in exchange for manufactured goods that ..... ..... be produced in the colonies. A) Could not. B) Must be. C) Wanted to. D) None of above. Show Answer Correct Answer: A) Could not. 5. Country ProductGrenada Nutmeg, MaceJamaica Coffee, BauxiteBarbados SugarAntigua PineappleGuyana Bauxite, RiceTrinidad Asphalt, OilWhich two countries produce the same item? A) Jamaica and Antigua. B) Jamaica and Guyana. C) Trinidad and Barbados. D) Trinidad and Guyana. Show Answer Correct Answer: B) Jamaica and Guyana. 6. The relationship between the value of a country's exports and the value of its imports. A) Balance of Payments. B) Balance of Trade. C) Trade Deficit. D) Trade Surplus. Show Answer Correct Answer: B) Balance of Trade. 7. This is the most restrictive of the trade restrictions a nation can use to close off all importation of a product. A) Embargo. B) Tariff. C) Quota. D) Subsidy. Show Answer Correct Answer: A) Embargo. 8. Monetary policy that reduces the interest rates will do which of the following? A) Appreciation of domestic currency. B) Increase in imports. C) Depreciation of the domestic currency. D) Decrease in exports. Show Answer Correct Answer: C) Depreciation of the domestic currency. 9. What are "remittances?" A) Person who flees a country due to war. B) Legal documents to show you own a car. C) Driver's license. D) Money that an immigrant sends back home to his family in his native country. Show Answer Correct Answer: D) Money that an immigrant sends back home to his family in his native country. 10. Which of the following Countries is the largest trading partner of India? A) US. B) UAE. C) China. D) UK. Show Answer Correct Answer: A) US. 11. When one country has an absolute advantage in producing a product, then that country can typically benefit by ..... that product. A) Exporting. B) Importing. C) Hording it for themselves. D) None of above. Show Answer Correct Answer: A) Exporting. 12. A trade deficit occurs when.. A) Exports and imports are the same. B) Exports are higher than imports. C) Exports are lower than imports. D) None of above. Show Answer Correct Answer: C) Exports are lower than imports. 13. Many people died because of ..... the Europeans ..... brought to the New World, such as smallpox. A) Diseases, unintentionally. B) Mortality, mines. C) Plantations, religion. D) Europe, Europeans. Show Answer Correct Answer: A) Diseases, unintentionally. 14. What is the Columbian Exchange? A) The exchange of Columbians. B) The trading of goods between Colombia and other countries. C) The global transfer of foods, plants, and animals during the colonization of the Americas. D) The exchange between Christopher Columbus and other explorers. Show Answer Correct Answer: C) The global transfer of foods, plants, and animals during the colonization of the Americas. 15. Which sentence best states the main idea of the article? A) "Have you ever swapped sandwiches with a friend at lunchtime?". B) "Trade allows people to sell, buy, or exchange goods and services to get what they need.". C) "For example, in some countries, people grow a lot of rice.". D) None of above. Show Answer Correct Answer: B) "Trade allows people to sell, buy, or exchange goods and services to get what they need.". 16. Domestic goods and services sold to buyers in other nations. A) Interdependance. B) Export. C) Import. D) Surplus. Show Answer Correct Answer: B) Export. 17. Why did Constantinople's geography make it wealthy? A) The city was a stop along the Silk Road. B) The city paid many pirates to plunder trade ships. C) The city was located near all the major trade routes. D) The city had much of the old Roman money in its banks. Show Answer Correct Answer: C) The city was located near all the major trade routes. 18. Which is NOT a benefit of free trade agreements? A) *Promote greater trade among the parties. B) *Increases competition and specialization. C) *Broadens the market. D) *Makes everyone happy. Show Answer Correct Answer: D) *Makes everyone happy. 19. Which institution developed to provide Europeans with labor in the New World? A) Prison colonies. B) Indentured servitude. C) Food for labor. D) African slavery. Show Answer Correct Answer: D) African slavery. 20. Which was traded from the New World to the Old World? A) Major diseases. B) Horses. C) Potatoes and corn. D) Slaves. Show Answer Correct Answer: C) Potatoes and corn. 21. An economy that has reached industrialization A) Developed economy. B) Transitioning economy. C) Developing economy. D) None of above. Show Answer Correct Answer: A) Developed economy. 22. Converting one nation's money into an equivalent value/quantity of another's A) Currency Exchange. B) Specialization. C) Voluntary Trade. D) Trade Barrier. Show Answer Correct Answer: A) Currency Exchange. 23. A situation in which a nation imports more goods and services than it exports. A) Trade Deficit. B) Balance of Payments. C) Trade Surplus. D) Balance of Trade. Show Answer Correct Answer: A) Trade Deficit. 24. What is the primary purpose NAFTA? A) To reduce trade barriers among the US, Canada, and Mexico. B) To reduce trade barriers among Central America and Mexico. C) To reduce trade barriers among Brazil and Mexico. D) To encourage free trade between the US, Europe, and Canada. Show Answer Correct Answer: A) To reduce trade barriers among the US, Canada, and Mexico. 25. What did the English ship captains typically offer in trade for a cargo of captured African slaves? A) Guns and finished products. B) Gold and Silver. C) Sugar and Molasses. D) Fish and timber. Show Answer Correct Answer: A) Guns and finished products. 26. Which nation leads the Middle East region in the production and export of oil? A) Iraq. B) Kuwait. C) Iran. D) Saudi Arabia. Show Answer Correct Answer: D) Saudi Arabia. 27. Jamaica sells bauxite to the USA which best describes Jamaica's action? A) Monopoly. B) Export. C) Import. D) Innovation. Show Answer Correct Answer: B) Export. 28. NAFTA is an agreement between all of the following countries EXCEPT A) Mexico. B) Great Britain. C) United States. D) Canada. Show Answer Correct Answer: B) Great Britain. 29. Settlement is also known as A) Payment. B) Export. C) Transction. D) Import. Show Answer Correct Answer: A) Payment. 30. Under open account arrangement, the credit status and general reputation of the buyer and seller are A) Good (Trust has built up between parties). B) Poor. C) Moderate. D) None of above. Show Answer Correct Answer: A) Good (Trust has built up between parties). ← PreviousNext →Related QuizzesInternational QuizzesEconomics QuizzesTrade Exchange And Interdependence Quiz 1Trade Exchange And Interdependence Quiz 2Trade Exchange And Interdependence Quiz 3Trade Exchange And Interdependence Quiz 4Trade Exchange And Interdependence Quiz 5Trade Exchange And Interdependence Quiz 6Trade Exchange And Interdependence Quiz 7Trade Exchange And Interdependence Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books