Worksheetscommercio round 1
Total questions: 10
Worksheet time: 5mins
1. Sweden has an absolute advantage over Ireland in the production of automobiles, and this results from :
its ability to sell automobiles in Ireland for less than the cost of production in Ireland
its ability to produce automobiles using fewer resources than
the size of the Swedish market relative to the Irish market
competitive free trade in automobiles
Suppose that the tariff on shirts is 20% while the tariff on the cloth used to make the shirts is also 20% and there is no tariff on any of the inputs needed to produce cloth. The tariff on cloth is now reduced to 10%. Which of the following, if any, is not true?
The nominal rate of protection on cloth is reduced
The effective rate of protection on cloth is reduced
The nominal rate of protection on shirts is unchanged
The effective rate of protection on shirts is unchanged
A tariff differs from a quota in that a tariff is:
levied on imports, whereas a quota is imposed on exports.
levied on exports, whereas a quota is imposed on imports.
a tax levied on exports, whereas a quota is a limit on the number of units of a good that can be exported.
a tax imposed on imports, whereas a quota is an absolute limit to the number of units of a good that can be imported.
The Smoot-Hawley Tariff Act was introduced to protect farmers from agricultural imports from:
Asia
Africa
Europe
South America
X is the first person from an emerging economy to head of international organisation Y. X is the second women to be appointed as Managing Director of Y and has served in the European Commission. Identify X.
Christine Lagarde
Kristillina Georgieva
Lise Kingo
Angela Merkel
Trade Protectionism occurs due to:
National Security
Consumer Protection
Infant Industry Argument
All of the above
Find the odd one out.
a
b
c
d
Which of the factors does not result in increase in the GDP of a country?
Increasing Interest Rates
Good Infrastructure
Education & Training
Protectionism
Which of the following is True?
Protectionism leads to Innovation
Protectionism doesn’t lead to Economic Isolatio
Infant Industry growth is an effect of Protectionism
Protectionism leads to increased Customer Choices
Mercantilism is associated with :
US
CHINA
EUROPE
INDIA
