A level International Trade Quiz 1

16 QuestionsMultiple ChoiceFree Practice

About this quiz

This A level International Trade Quiz 1 quiz contains 16 multiple choice questions designed to help you revise and test your A level International Trade Quizzes knowledge. Select an answer for each question and click “Submit Answer” to see instant feedback. Take your time and try to score as high as possible!

Description

In this quiz, we will be looking at international trade. Here, we will be looking at some concepts such as the determinants of trade, the effects of international trade on national income, the benefits of international trade, and so on. This quiz has all that covered.

International trade is defined as the exchange of goods, services, and capital across international borders since there is a want of goods and services. This trade is very important because it gives consumers the opportunity to be exposed to goods and services not available in their respective countries. Some terms commonly heard as far as international trade is concerned are imports and exports. Exports refer to products that are being sold to the international market, and imports are goods bought from the international market. If a country cannot produce a good efficiently, it can obtain it by trading with another country that can. This is thus known as specialization in international trade.

Having gone through the recap of what international trade is all about, let’s try to apply what we have learned. Answer the following questions in this economics quiz and see how much you know, or need to know. Good luck.

Progress0 / 16 answered

Question 1 of 16

Transportation cost of trade affects:

Question 2 of 16

Underlying the application of the monopolistic competition model to trade is the idea that trade:

Question 3 of 16

A no-trade world will have which of the following characteristics:

Question 4 of 16

Which of the following trade policies limits specified quantity of goods to be imported at one tariff rate.

Question 5 of 16

In the 2-factor, 2 good Heckscher-Ohlin model, the two countries differ in

Question 6 of 16

Since 1980s which of the following changes has happened in the world trade?

Question 7 of 16

According to Ricardo, a country will have a comparative advantage in:

Question 8 of 16

Nations conduct international trade because:

Question 9 of 16

Which of the following is a determinant of trade?

Question 10 of 16

International Trade is most likely to generate short-term unemployment in:

Question 11 of 16

The reason why international trade has strong effects on the distribution of income is because:

Question 12 of 16

Which of the following is not a benefit of international trade?

Question 13 of 16

Bangladish is relatively abundant in labour, while Canada is relatively abundant in capital. In both countries the production of shirts is relatively more labour intensive than the production of computers. According to the factor endowment theory, Bangladish will have a(n)

Question 14 of 16

A country's workers union attempted to win the approval of legislation that would moderate the practice of foreign sourcing on the part of auto manufacturers. Which of the following best represents this legislation.

Question 15 of 16

Which of the following explains intra-industry trade.

Question 16 of 16

Free traders maintain that an open economy is advantageous in that it provides all of the following except: