Sl.

No Question Bank Name * Question Bank Description

1 Introduction to Foreign Trade_Practice Quiz
2 Introduction to Foreign Trade_Practice Quiz
3 Introduction to Foreign Trade_Practice Quiz
4 Introduction to Foreign Trade_Practice Quiz
5 Introduction to Foreign Trade_Practice Quiz
6 Introduction to Foreign Trade_Practice Quiz
7 Introduction to Foreign Trade_Practice Quiz
8 Introduction to Foreign Trade_Practice Quiz
9 Introduction to Foreign Trade_Practice Quiz
10 Introduction to Foreign Trade_Practice Quiz
11 Introduction to Foreign Trade_Practice Quiz
12 Introduction to Foreign Trade_Practice Quiz
13 Introduction to Foreign Trade_Practice Quiz
14 Introduction to Foreign Trade_Practice Quiz
15 Introduction to Foreign Trade_Practice Quiz
Question Bank Keywords Default Mark Difficulty Level * Shuffle Answers *
FFT_M01_C01_PQ 1 Medium YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 Medium YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 Medium YES
FFT_M01_C01_PQ 1 Difficult YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 EASY YES
FFT_M01_C01_PQ 1 Difficult YES
FFT_M01_C01_PQ 1 Medium YES
FFT_M01_C01_PQ 1 Medium YES
FFT_M01_C01_PQ 1 Difficult YES
Question Text *
Identify the reason that makes some countries more suitable to the production of particular goods.
__________ trade involves both import and export of goods.
The operations involved in foreign trade are much higer than international business. State whether true or false.
The __________is the difference between export and import of a country in a specific time period.
The main function of _____________ is to ensure smooth, predictable and easy trade between nations.
Mercantile trade negotiations are based on the principle of ____________.
According to WTO principles a country should not discriminate between its trading partners by giving them ___________ statu
____________ brings together the economies of more than one country.
__________________ states that a country must focus on what it can produce
Identify the correct statement; Foreign trade _____
State whether true or false: International business does not face any restrictions from the participating countries.
In the process of international trade, ‘Free trade’ is defined as _________
The 10th ministerial conference of World Trade Organization was held in _________ from 15th to 19th December 2015.
What is the name of the initiative started by government of India in order to increase competitiveness of Indian industries?
Increase in ______________ fosters economic growth and development in any country.
Answer1 * Correct Answer1
Economic development
Export
True
balance of trade 1
Foreign Investment Promotion Board (FIPB)
Give and take policy 1
Most favored nation 1
Foreign trade
theory of comparative cost 1
Decreases economic development
True
Having trade operations with ‘most favored nations’ (MFN)
New Delhi, India
Make in India 1
Imports
Answer1 Rationale
Incorrect; FDI is a major source of non-debt financial resource for the economic development in India.
Incorrect; When a country sells its goods and services to another country it is termed as export trade.
Incorrect; The operations of international business are large scale
Correct; The balance of trade is the difference between export and import of a country in a specific time period.
Incorrect; FDI into India through the Foreign Investment Promotion Board (FIPB) route shot up by 26 per cent to US$ 31.9 billio
Correct; Mercantile trade negotiations are based on the principle of give and take policy.
Correct; According to WTO principles a country should not discriminate between its trading partners by giving them most favor
Incorrect; Foreign trade is a subset of international business.
Correct; The theory of comparative cost states that a country must focus on what it can produce, depending on its natural reso
Incorrect; Foreign trade does not decrease the economic development
Incorrect; International business faces restrictions from participating countries.
Incorrect; According to WTO principles a country should not discriminate between its trading partners by giving them most fav
Incorrect; Imports in India is reported by the Ministry of Commerce and Industry,New Delhi, India.
Correct; Make in India is the initiative started by government of India in order to increase competitiveness of Indian industries
Incorrect; When a country sources and buys goods or services from another country it is termed as import trade.
Answer2 * Correct Answer2
Diversity in human & natural resources 1
Import
False 1
balance of payments
World trade organization (WTO) 1
Foreign direct investment
Free trade
WTO
policy of give and take
Increases economic development 1
False 1
Barriers coming down through negotiations 1
North America
Foreign Trade Policy
Exports 1
Answer2 Rationale
Correct; Diversity in human& natural resources makes some countries more suitable to the production of particular goods.
Incorrect; When a country sources and buys goods or services from another country it is termed as import trade.
Correct; Operations under international business are large scale compared to foreign trade
Incorrect; Exports and imports are accounted for in a country's current account in the balance of payments
Correct; The main function of World trade organization (WTO) is to ensure smooth, predictable and easy trade between nation
Incorrect; FDI is a critical driver of economic growth and a major source of non-debt financial resource for the economic develo
Incorrect; Under free trade, barriers come down through negotiations
Incorrect; The World Trade Organisation (WTO) deals at a global level, with the rules of trade between nations.
Incorrect; Mercantile trade negotiations are based on the principle of give and take policy.
Correct; Foreign trade increases economic development
Correct; Due to the presence of multiple countries and their economies and Governments, there are many international restric
Correct; Under free trade, barriers come down through negotiations
Incorrect; India ships exports up to 17.1% to North American customers
Incorrect; India’s new Foreign Trade policy focuses on positioning India as a lead player in Foreign Trade.
Correct; Increased exports for any country foster economic growth and development
Answer3 Correct Answer3
Balance of payments
Entrepot 1

international trade
Department of Industrial Policy and Promotion (DIPP)
DDA negotiations
Predictable trade
International business 1
world trade organization
Is responsible for uneven distribution of natural resources

Encouraging unfair trade practices such as export subsidies

Nairobi, Kenya 1
Exim Policy
Trade barriers
Answer3 Rationale
Incorrect; Exports and imports are accounted for, in a country's current account in the balance of payments
Correct; Entrepot trade involves both import & export of goods

Incorrect; International trade or International Business includes business transactions conducted all over the world.
Incorrect; according to Department of Industrial Policy and Promotion (DIPP), the total FDI inflows soared by 24.5 per cent to U
Incorrect; Mercantile trade negotiations involved reaffirmation to continue the DDA negotiations beyond Nairobi submit.
Incorrect; Foreign companies, investors and governments should be confident that trade barriers should not be raised arbitrari
Correct; International business brings together the economies of more than one country.
Incorrect; The World Trade Organisation (WTO) deals at a global level, with the rules of trade between nations.
Incorrect; uneven distribution of natural resources necessitate foreign trade

Incorrect; According to WTO principles, trading system should discourage unfair trade practices such as export subsidies
Correct; The 10th ministerial conference of World Trade Organisation was held in Nairobi, Kenya from 15th to 19th December 2
Incorrect; five-yearly foreign trade policy (2015-20) is also called as Exim policy
Incorrect; As per basic principles of WTO, under predictable trade, Foreign companies, investors and governments should be co
Answer4 Correct Answer4
Theory of comparative cost
Domestic

Entrepot trade
Special economic zones (SEZs)
Free trade
Bound
Trade negotiations
government of India
Is discouraged by theory of comparative cost

Importing from one country and exporting the same goods to another country
Brazil
Special economic zones
FDI
Answer4 Rationale
Incorrect; The theory of comparative cost states that a country must focus on what it can produce, depending on its natural res
Incorrect; International business makes use of surplus produced by domestic trade

Incorrect; Entrepot trade involves both import & export of goods

Incorrect; Exim Policy 2015-2020 included units within export-oriented special economic zones (SEZs) under the ambit of incen
Incorrect; Under free trade, barriers come down through negotiations
Incorrect; tariff rates and market-opening commitments are “bound” in the WTO;
Incorrect; Mercantile trade negotiations are based on the principle of give and take policy.
Incorrect; the Government of India continuously monitors the export performance of different sectors and takes need based m
Incorrect; The theory of comparative cost states that a country must focus on what it can produce

Incorrect; This is an aspect of entrepot trade

Incorrect; Brazil fell into recession in the year 2015
Incorrect; Foreign trade policy of 2015-20 included units within export-oriented special economic zones (SEZs) under the ambi
Incorrect; FDI is a critical driver of economic growth and a major source of non-debt financial resource