Tag: importance, scope and benefits of international trade

Questions Related to importance, scope and benefits of international trade

Which of the following conveys the difficulty of diversity of language in international trade? 

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Different languages are spoken and written in different countries of the world.

  2. All correspondence has to be done in foreign language.

  3. Price lists and catalogues are prepared in foreign languages.

  4. All of the above

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Correct Option: D
Explanation:

Trade requires communication, which can give rise to language barriers. Language-intensive tasks that are essential to trade include researching foreign markets, adapting and marketing products to foreign consumers, and communication and contracting between importing and exporting firms.

________ is/are the business regulation(s) and policy(ies) which differentiate(s) internal trade with external trade.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Tariff and taxation

  2. Import quota system

  3. Subsidies

  4. All of the above

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Correct Option: D

Which of the following is/are the characteristic(s) of international trade?

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Territorial specialization

  2. Separation of sellers from buyers

  3. Mutually acceptable currency

  4. All of the above

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Correct Option: D
Explanation:

International trade is lower costs to consumers. The lower cost is the result of two factors. First, companies can produce items overseas, saving money on labor and material costs.

The Principal instrument of inward-oriented trade policy is __________.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Non Protection

  2. Protection

  3. Tariff

  4. Customs duty

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Correct Option: B

The Unified Exchange Rate System was introduced in _______.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. 1990

  2. 1991

  3. 1993

  4. 1996

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Correct Option: C

The Dual Exchange Rate System was replaced by ___________.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Exim Scrips

  2. EPCG licenses

  3. LERM

  4. Unified Exchange Rate System

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Correct Option: D

The Exim Policy for 1997-2000 was effective on ________.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. 1st May, 1996

  2. 1st April, 1997

  3. 26th June, 1996

  4. 26th June, 1997

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Correct Option: B

The inward-oriented trade policy is also known as _____________.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. Export promotion strategy

  2. Import substitution strategy

  3. LPG

  4. Exim policy

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Correct Option: B

Export promotion was a key element of the foreign trade strategy during the _______.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. seventh Five Year Plan

  2. eighth Five Year Plan

  3. nineth Five Year Plan

  4. tenth Five Year Plan

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Correct Option: B

The important components of foreign trade of a country are _________.

commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

  1. terms of trade, balance of trade and balance of payment

  2. the volume of trade, the composition of trade and the direction of trade

  3. terms of trade and the volume of trade

  4. terms of trade and the direction of trade

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Correct Option: B