This quiz works best with JavaScript enabled. Home > Economics > International > Trade > Trade Exchange And Interdependence – Quiz 7 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Trade Exchange And Interdependence Quiz 7 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The value of all monetary transactions between a country's economy and the rest of the world. A) Balance of Trade. B) Trade Deficit. C) Trade Surplus. D) Balance of Payments. Show Answer Correct Answer: D) Balance of Payments. 2. Balance of trade is measuredas: A) Dfference between import and export of goods. B) Difference between import and export of services. C) Difference between import and export of capital. D) Difference betwee all import and all export. Show Answer Correct Answer: A) Dfference between import and export of goods. 3. Telegraphic Transfer is A) Method of fund transfer. B) Method of shipping. C) Methods of importing. D) None of above. Show Answer Correct Answer: A) Method of fund transfer. 4. To focus on producing one thing to improve productivity is known as: A) Specialization. B) International trade. C) Absolute Advantage. D) Supply and Demand. Show Answer Correct Answer: A) Specialization. 5. Goods or services that a country sells to other nations A) Tariff. B) Import. C) Export. D) Duty. Show Answer Correct Answer: C) Export. 6. How much one currency is worth when compared to another is known as a A) Quota. B) Exchange rate. C) Specialization. D) Tariff. Show Answer Correct Answer: B) Exchange rate. 7. What is a problem with exchanging currency? A) People make more money by trading currency. B) Most people want to use American dollars to trade. C) It costs more to do business because banks charge fees for exchanges. D) Banks do not like to exchange their money for other currencies. Show Answer Correct Answer: C) It costs more to do business because banks charge fees for exchanges. 8. Trade can be an effect. What is a cause of trade? A) People growing rice and then eating it. B) People making sandwiches and refusing to give them away at lunch. C) People having too much of one thing and needing something else. D) None of above. Show Answer Correct Answer: C) People having too much of one thing and needing something else. 9. The United States has which of the following exchange rate regimes? A) Floating. B) Fixed. C) Fixed, but adjusted frequently. D) None of above. Show Answer Correct Answer: A) Floating. 10. The Old World ..... and the New World ..... A) Portugal, Spain. B) Europe, Americas. C) Unintentionally, Europeans. D) Horrible, plantations. Show Answer Correct Answer: B) Europe, Americas. 11. In order to help U.S. car companies sell more cars, some people want to put a limit on the number of cars imported from other countries. This is an example of (a) A) Tariff. B) Quota. C) Embargo. D) Currency exchange. Show Answer Correct Answer: B) Quota. 12. Trade between two countries is called A) National trade. B) International trade. C) Both of these. D) None of above. Show Answer Correct Answer: B) International trade. 13. Which of the following is a positive effect of the Columbian Exchange? A) Increased food variety and supply. B) Large immigration to Europe. C) American access to the Silk Road. D) Increased life expectancy. Show Answer Correct Answer: A) Increased food variety and supply. 14. The price of imported goods is higher for domestic consumers. A) Quota Cost. B) Tariff Cost. C) Embargo Cost. D) None of above. Show Answer Correct Answer: B) Tariff Cost. 15. Which religion did European conquerors bring to the indigenous people of Latin America? A) Judism. B) Buddhism. C) Catholicism. D) Islam. Show Answer Correct Answer: C) Catholicism. 16. What are the three political trade barriers? A) Tariffs, Embargos, Quotas. B) Specialization, Exchange Rates, and Political. C) Quotas, Trading, Specialization. D) Landlocked Countries, Weather, and Bodies of Water. Show Answer Correct Answer: A) Tariffs, Embargos, Quotas. 17. This trade barrier limits the number of products that can be brought into a country. A) Subsidy. B) Quota. C) Tariff. D) Embargo. Show Answer Correct Answer: B) Quota. 18. The greater the country's level of economic development, the- A) Lower the urban population. B) Lower the cost of living. C) Higher the agricultural labor force. D) Higher the quality of life. Show Answer Correct Answer: D) Higher the quality of life. 19. What did the Indians bring for gifts? A) Fish. B) Sticks. C) Bones. D) Shells. Show Answer Correct Answer: D) Shells. 20. Which is not a part of the New World? A) North America. B) South America. C) Asia. D) Caribbean. Show Answer Correct Answer: C) Asia. 21. Inward looking trade strategy relies on: A) Export promotion. B) Import substitution. C) Both (a) and (b). D) None of these. Show Answer Correct Answer: B) Import substitution. 22. It unifies petroleum prices in order to promote stability in the world oil market and to ensure a regular supply of petroleum to other countries. A) OPEC. B) OEPC. C) OCPE. D) EOPC. Show Answer Correct Answer: A) OPEC. 23. What was the economic system used by Great Britain in which colonies were established in the Americas? A) Free enterprise. B) Mercantilism. C) Mixed economy. D) Command economy. Show Answer Correct Answer: B) Mercantilism. 24. The ..... was when Europeans brought people from ..... to be slaves in the New World A) Africa, Trans-Atlantic Slave Trade. B) Columbian Exchange, Europeans. C) New World, Africa. D) Trans-Atlantic Slave Trade, Africa. Show Answer Correct Answer: D) Trans-Atlantic Slave Trade, Africa. 25. How did most goods travel on the Silk Road? A) By large wagons. B) By boat. C) By people carrying them. D) By horse or camel. Show Answer Correct Answer: D) By horse or camel. 26. Example:In 1990, the Japanese Government announced it would extend its voluntary limit on automobile exports to the United States. A) Quota. B) Tariff. C) Embargo. D) None of above. Show Answer Correct Answer: A) Quota. 27. The United States currently has this type of trading agreement with North Korea.What is this an example of? A) Tariff. B) Quota. C) Embargo. D) None of above. Show Answer Correct Answer: C) Embargo. 28. A shortage of imported goods can increase the price for domestic consumers and they have fewer choices. A) Quota Cost. B) Tariff Cost. C) Embargo Cost. D) None of above. Show Answer Correct Answer: A) Quota Cost. 29. Japanese auto firms agree to limits set in Washington D.C., on the # of Japanese cars that may be sold in the U.S. A) Embargo. B) Quota. C) Tarriff. D) Standard. Show Answer Correct Answer: B) Quota. 30. What happens to the price of oil when OPEC countries decide to limit production? A) Oil prices drop. B) Oil prices collapse. C) Oil prices remain the same. D) Oil prices increase. Show Answer Correct Answer: D) Oil prices increase. ← 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 8Trade Exchange And Interdependence Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books