All of the following are the features of globalization process except one. Which one is the exception?
A. The expanding role for MNCs
B. A reduction in artificial barrier to trade
C. Increasing international barrier to trade
D. A decline in the importance of international specialization
Select an option to see the answer and solution.
Foreign policy decision makers, for spreading their information, rely on
A. public
B. media
C. politician
D. bureaucrats
Select an option to see the answer and solution.
This integration form includes the development of a common market by harmonization of national economic policies, such as competition policy, financial regulations, product standards, etc.
A. Preferential Trade Area
B. Custom Unions
C. Economic Union
D. Common Market
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Characteristics such as age, income or gender are examples of
A. household patterns
B. demographics
C. income distribution
D. Social-cultural environment
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Match the following.
List-I (Theories of International Trade)
List-II (Founders)
a. Theory of reciprocal demand
1. David Ricardo
b. Theory of absolute advantage
2. Adam Smith
c. Theory of comparative advantage
3. Raymond Vernon
d. Product life cycle theory of trade
4. John Stuart Mill
A. a-4, b-3, c-1, d-2
B. a-3, b-1, c-4, d-2
C. a-2, b-3, c-4, d-1
D. a-2, b-4, c-1, d-3
Select an option to see the answer and solution.
Which one of the following is not an element of internal environment?
A. Mission/Objectives
B. Human Resources
C. Customers
D. Shareholder's values
Select an option to see the answer and solution.
All of the following are included as invisible items on the current account of balance of payments except which one?
A. Flows of profits from assets held overseas
B. Inflows of overseas investments
C. Expenditure of foreign tourists with in the country
D. Interest payments received from bank accounts held in other countries
Select an option to see the answer and solution.
From the following statements of Assertion (A) and Reason (R), indicate the correct answer.
Assertion (A): Industrial liberalization became an imperative condition for the growth of forces of competition leading to high efficiency and productivity in Indian industries.
Reason (R): Industrial development and curbing of poverty is only possible through government intervention.
A. Both (A) and (R) are not correct
B. (A) is correct, but (R) is not the correct explanation of (A)
C. (A) is correct and (R) is correct explanation of (A)
D. (A) is not correct, but (R) is correct
Select an option to see the answer and solution.
Match the following economic institutions with the year of their establishment:
a. World Bank
1. 1946
b. International Finance Corporation
2. 1956
c. International Development Agency
3. 1960
d. Asian Development Bank
4. 1966
A. a-1, b-2, c-3, d-4
B. a-1, b-3, c-4, d-2
C. a-2, b-1, c-4, d-3
D. a-3, b-1, c-2, d-4
Select an option to see the answer and solution.
During periods of growing domestic demand an import quota,
A. is less restrictive on a country's imports than a tariff
B. is more restrictive on a country's imports than a tariff
C. has the same restrictive effect on a country's imports as a tariff
D. will always generate increased tax revenue for the government
Select an option to see the answer and solution.
Arrange the stages in anti-dumping investigation process in right sequence.
(i) Initiation
(ii) Preliminary screening
(iii) Rejection of unsubstantiated information
(iv) Provisional findings
(v) Final findings and measures
(vi) Permitting the exporting country to modify the practices
A. (i), (ii), (iii), (iv), (vi), (v)
B. (i), (ii), (iv), (iii), (vi), (v)
C. (ii), (iv), (iii), (i), (vi), (v)
D. (ii), (iii), (i), (vi), (iv), (v)
Select an option to see the answer and solution.
Which of the following types of risk can be attributed to macro variables and is usually beyond the control of the business?
A. Systematic risk
B. Unsystematic risk
C. Residual risk
D. Diversifiable risk
Select an option to see the answer and solution.
Match the items of
List-I with
List-II and indicate the correct answer.
List-I
List-II
a. Micro external environment
1. Economic and political factors
b. Macro external environment
2. Competition among diverse products targeting disposable income of consumers
c. Non-price competition
3. Input suppliers
d. Desire competition
4. Sponsoring of events like sports
A. a-3, b-1, c-4, d-2
B. a-2, b-3, c-4, d-1
C. a-4, b-2, c-3, d-1
D. a-4, b-1, c-2, d-3
Select an option to see the answer and solution.
. . . . . . . . is a negotiating, committing and controlling organisation.
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Consider the following actions which the Government can take:
(i) Devaluing the domestic currency
(ii) Reduction in the export subsidy
(iii) Adopting suitable policies which attract greater FDI and more funds from Flls
Which of the above action/actions can help in reducing the current account deficit?
A. (i) and (ii)
B. (ii) and (iii)
C. (iii) only
D. (i) and (iii)
Select an option to see the answer and solution.
Which function is not performed by the government for promotion of economic environment?
A. Nurture the mentality of country's development
B. Exploitation of environment
C. Effects proper utilisation of resources
D. All of the above
Select an option to see the answer and solution.
The effects of foreign trade on the domestic economy may be at
A. micro level
B. macro level
C. Both A and B
D. Neither A nor B
Select an option to see the answer and solution.
Main objectives of CRR and SLR is to ensure
(i) Liquidity position of Bank
(ii) Financial position of Bank
(iii) Profit position of Bank
A. Only (i) is correct
B. Only (ii) is correct
C. Only (iii) is correct
D. All are correct
Select an option to see the answer and solution.
Which of the following statements determine the automatic borrowing rights of a member of IMF?
A. The serious ness of its balance of payments disequilibrium
B. It's subscribed quota in fund
C. The size of its holding of reserve currencies
D. The value of its currency in term of gold
Select an option to see the answer and solution.
Which conference gave birth to the IMF?
A. Bretton Woods Conference
B. Agency of United Nations
C. Uruguay Round Conference
D. None of the above
Select an option to see the answer and solution.