Practice Test

Q1) Unilateral transfers include _________ Show Answer

Q2) Unilateral flows in the balance of payment account refer to ____________ Show Answer

Q3) GATS stands for ________ Show Answer

Q4) The current account in the balance of payments_________ Show Answer

Q5) A deficit in India's Balance of Trade in recent times is due to ____ Show Answer

Q6) There is an increase in _____ on India's capital a/c in recent times. Show Answer

Q7) Bank capital on India's capital account includes _______. Show Answer

Q8) International trade increases the welfare of _________ Show Answer

Q9) WTO agreements incorporated ________ proposals. Show Answer

Q10) ________ has given mandate to negotiate multilateral rules relating to services Show Answer

Q11) Foreign direct investment is a part of __________ Show Answer

Q12) External borrowing is treated as ____ flow. Show Answer

Q13) Foreign exchange reserve of India include __________ Show Answer

Q14) The highest authority of WTO is _______. Show Answer

Q15) The Agreement on Agriculture does not aim at _________ Show Answer

Q16) Intellectual property rights include ___ Show Answer

Q17) The current account balance of BOP does not include ____ Show Answer

Q18) _____ is not a part of unilateral transfers Show Answer

Q19) _______ is not a direct measure to correct BOP disequilibrium. Show Answer

Q20) When BOP disequilibrium is chronic in nature and lasts for long time, it is a sign of ______ disequilibrium. Show Answer

Q21) When disequilibrium takes place due to changes in demand pattern for exports or imports, it is a case of ______ disequilibrium. Show Answer

Q22) TRIMs agreement refers to treating foreign investment at ____ with domestic investment. Show Answer

Q23) The effectiveness of devaluation depends on ____ Show Answer

Q24) In the past several years,India's capital account balance was in _____ Show Answer

Q25) Portfolio foreign investment is included in __ ____ account of BOP. Show Answer

Q26) Expenditure switching policies to correct BOP deficit include ______ of domestic currency. Show Answer

Q27) Traiffs and quotas are imposed on imports to correct BOP deficit are called as ______ measures. Show Answer

Q28) The sum of the total export - import demand elasticity must be ________ Show Answer

Q29) In the past several years, India's net invisible were in _____ Show Answer

Q30) Balance of Payments records all economic transaction between residents of a country and rest of the world. Show Answer

Q31) The highest authority of WTO is the Ministerial Conference. Show Answer

Q32) Balance of trade always balances Show Answer

Q33) Short term lending is listed on the debit side of the BOP Show Answer

Q34) Item that give rise to receipts of foreign currency are listed on the debit side of BoP Show Answer

Q35) The two purpose Of WTO is to remove restriction in international trade Show Answer

Q36) In recent times , India's receipts on invisible accounts have played an important role on BoP front. Show Answer

Q37) Cyclical transmission causes disequilibrium in BoP Show Answer

Q38) Depreciation of a currency makes an import cheaper Show Answer

Q39) Depreciation on a currency makes export cheaper Show Answer

Q40) Devaluation means official reduction in in the value of the domestic currency Show Answer

Q41) Most favored national clause under WTO implies that some countries have more advantage in trade. Show Answer

Q42) The agreements of WTO are related to only non-agricultural goods. Show Answer

Q43) Foreign exchange reserves increase when deficit in current account is more than capital account surplus. Show Answer

Q44) Balance of Payments always balances in accounting sense. Show Answer

Q45) A chronic disequilibrium is also called as 'fundamental disequilibrium'. Show Answer

Q46) The immediate effect of globalisation is a surplus in BoP of all countries. Show Answer

Q47) Devaluation of domestic currency makes exports cheaper and imports costlier. Show Answer

Q48) Import substitution to correct BoP disequilibrium is not feasible in the long run. Show Answer

Q49) TRIP's Agreement of WTO has benefited the MNCs from developed countries. Show Answer

Q50) India is a founder member of WTO. Show Answer

Q51) Agreement on Textiles and Clothing has replaced the Multi-fiber Agreement. Show Answer

Q52) TRIPs Agreement can lead to transfer of R&D benefits to developing countries. Show Answer

Q53) The policy measures to correct BoP disequilibrium are direct measures. Show Answer

Q54) All BoP receipts are recorded on the debit side of BoP statement. Show Answer

Q55) In the balance of payments, the statistical discrepancy is used to: Show Answer

Q56) A country’s transactions with the rest of the world are recorded in the Show Answer

Q57) All of the following are credit items in the balance of payments, except: Show Answer

Q58) All of the following are debit items in the balance of payments, except: Show Answer

Q59) A capital account surplus might be expected to cause a current account deficit because the associated Show Answer

Q60) The role of _________ is to direct one nation’s savings into investments of another nation: Show Answer

Q61) The current account includes Show Answer

Q62) Debit entries on the balance of payments are the entries that would Show Answer

Q63) In the balance of payments, travel and tourism are included in the category of Show Answer

Q64) Current account deficits are offset by Show Answer

Q65) The difference between a country’s balance of payments and its balance of international indebtedness Show Answer

Q66) A nation wishing to reduce its current account deficit would be advised to Show Answer

Q67) A nation with a current account deficit will be Show Answer

Q68) In the calculation of gross domestic product, net exports are Show Answer

Q69) A current account surplus implies that Show Answer

Q70) When a country has a trade deficit, it Show Answer

Q71) The "balance of trade" is a record of Show Answer

Q72) Direct investment and security purchases are classified as Show Answer

Q73) __________ is needed to the balance of payments statement. Show Answer