Practice Test

Q1) Unilateral transfers include _________ Show Answer

Q2) The full form of TRIMs is _________ Show Answer

Q3) WTO was set up on _________ Show Answer

Q4) Autonomous capital inflows ________ other items in the balance of payments. Show Answer

Q5) The current account in the balance of payments ________ Show Answer

Q6) A deficit in India's balance of payments in recent times is due to _____________. Show Answer

Q7) Good performance on ________ has helped India to improve its current account balance in recent times. Show Answer

Q8) There has been impressive increase in _______ on India's capital account in the recent times. Show Answer

Q9) After covering deficits on current account, excess capital account receipts are added to _______. Show Answer

Q10) Bank capital on India's capital account includes _______. Show Answer

Q11) Private transfers on India's current account includes _______ Show Answer

Q12) Gains from trade are possible when cost ratio of the trading countries are different Show Answer

Q13) International trade brings in many dynamic gains. Show Answer

Q14) Balance of trade always balances. Show Answer

Q15) Short term lending is listed on the debit side of the balance of payments. Show Answer

Q16) Items that give rise to receipts of foreign currency are listed on the debit side of the balance of payments. Show Answer

Q17) The prupose of WTO is to remove restrictions in international trade Show Answer

Q18) India's receipts on invisible accounts have played an important role on balance of payments front in the recent times Show Answer

Q19) Cyclical transmission causes disequilibrium in balance of payments. Show Answer

Q20) Depreciation of a currency makes the imports cheaper Show Answer

Q21) Depreciation of a currency makes the exports cheaper. Show Answer

Q22) Devaluation means official reduction in the value of the domestic currency. Show Answer

Q23) Most Favoured Nations (MFN) rule under WTO implies that some countries have more advantage in trade. Show Answer

Q24) The Agreements of WTO are related to only non-agricultural goods. Show Answer

Q25) Cost differences are due to difference in factor prices Show Answer

Q26) Economies today are Autocratic Show Answer

Q27) Ordinary demand curves slopes upwards from left to right Show Answer

Q28) A shift in the offer curve changes the extent of gains from trade Show Answer

Q29) Domestic trade leads to higher level of consumption Show Answer

Q30) Payment made to other countries is debit Show Answer

Q31) International organisations are classified as foreign residents Show Answer

Q32) Industrial products includes consumer and capital goods Show Answer

Q33) A surplus on current Account is always a matter of worry Show Answer

Q34) A plus sign indicates rise in foreign exchange Show Answer

Q35) It may be a rare incident if a item by itself achives a balance Show Answer

Q36) Capital account has two types of flow Show Answer

Q37) Low Demand for import causes deficits in exporting countires Show Answer

Q38) Imports have kept rising since 1991 in India Show Answer

Q39) Recently China has become a major competitor of India Show Answer

Q40) WTO deals only with all small aspects of international trade Show Answer

Q41) The WTO agreement is lengthy and complex Show Answer

Q42) GATTs VIII round of Meeting lasted for 8 years Show Answer