Site MapHelpFeedbackMultiple Choice Quiz
Multiple Choice Quiz
(See related pages)

1
When governments intervene in international trade they often:
A)restricting the imports of goods.
B)restricting the imports of services.
C)adopt policies that promote exports.
D)protect domestic producers and jobs from foreign competition.
E)all of these answers are correct.
2
Usually when a tariff is applied by a government to protect their domestic industry it has the consequence of:
A)raising the cost of imported products.
B)raising the cost of exported products
C)lowering the cost of imported products.
D)lowering the cost of exported products.
E)all of these answers are correct.
3
In MOST cases, tariffs are put in place
A)By the government to protect foreign producers from foreign competition
B)By the government to protect domestic producers from foreign competition
C)By the government to protect domestic producers from domestic competition
D)By industry associations to protect domestic producers from foreign competition
E)By industry associations to protect domestic producers from domestic competition
4
A subsidy is a government payment:
A)to a domestic producer.
B)to a domestic importer.
C)to a foreign exporter.
D)to a foreign producer.
E)to a domestic agent.
5
A VER, Voluntary Export Restraint, is a:
A)tax on the quantity of imports into a country.
B)restriction on the quantity of imports into a country.
C)restriction on the quality of imports into a country.
D)increased restriction on the quantity of exports into another country.
E)quota on trade imposed by the exporting country.
6
An import quota is a:
A)tax on the quantity of imports into a country.
B)restriction on the quantity of imports into a country.
C)restriction on the quality of imports into a country.
D)increased restriction on the quantity of exports into another country.
E)quota on trade imposed by the exporting country.
7
Local content requirement demands that
A)"All parts" are local parts
B)Some specific fraction of a good be produced overseas
C)Some specific fraction of a good be produced domestically
D)Most parts are imported
E)100% of the product is "union made"
8
Dumping is defined as
A)Selling goods in your own market at below the costs of your competition
B)Selling goods in a foreign market above the costs of production in the exporter's market
C)Selling goods in a foreign market at below the costs of production in the exporter's market
D)Selling goods in a foreign market and importing goods to dump to the buyers
E)Selling goods in a foreign market at below the costs of profit in the domestic market
9
Antidumping: WTO rules allow countries to impose antidumping duties on foreign goods
A)That are being sold cheaper in your country than in the home of the exporter
B)That are being sold at a higher price in your country than in the home of the exporter
C)That are being sold cheaper in your country than in your domestic companies can
D)That are being sold less safely in your country than in the home country
E)That are being sold cheaper in your country than in the country of your competition
10
Countervailing duties are
A)being sold cheaper in your country than in the home of the exporter
B)100% of the product is "union made"
C)Selling goods in a foreign market and importing goods to dump to the buyers
D)Antidumping duties to penalize foreign countries who dump products at cheap prices
E)being sold cheaper in your country than in the country of your competition
11
Perhaps the most common political argument for government intervention is that it is needed
A)Protect jobs
B)Protect culture
C)Protect domestic industries
D)Protect national security
E)all of these answers are correct.
12
This American law was enacted to allow American companies to sue foreign firms that use property in Cuba confiscated from them
A)MFN – Most Favoured Nation status
B)D'Amato Act
C)Helms-Burton Act
D)Human Rights in Cuba Act
E)NAFTA
13
This American regulation was enacted to allow countries to export goods to the U.S. under favourable terms.
A)MFN – Most Favoured Nation status
B)D'Amato Act
C)Helms-Burton Act
D)Human Rights in Cuba Act
E)NAFTA
14
Trade Talks: WTO: Doha Round; August 2004 was about agreeing to abolish
A)Access to water
B)Agricultural export subsidies
C)Automotive subsidies
D)Oil prices
E)Human rights
15
Protecting Intellectual Property: without adequate protections, the incentive for
A)Innovations is reduced
B)Profit is negated
C)Sales are cut
D)HR is reduced
E)Advertising is muted





To learn more about the book this website supports, please visit its Information Center.
(c)2009 McGraw-Hill Higher Education
Any use is subject to the Terms of Use and Privacy Notice.
McGraw-Hill Higher Education is one of the many fine businesses of The McGraw-Hill Companies.


Global Business TodayOnline Learning Center

Home > Chapter 6 > Multiple Choice Quiz