Which of the following is a modern theory of international trade?

(a)

absolute cost

(b)

comparative cost

(c)

Factor endowment theory

(d)

none of these

Net export equals _______.

(a)

Export x Import

(b)

Export + Import

(c)

Export - Import

(d)

Exports of services only

If there is an imbalance in the trade balance (more imports than exports), it can be reduced by

(a)

decreasing customs duties

(b)

increasing export duties

(c)

stimulating exports

(d)

stimulating imports

Which of the following is not an example of foreign direct investment?

(a)

the construction of a new auto assembly plant overseas

(b)

the acquisition of an existing steel mill overseas

(c)

the purchase of bonds or stock issued by a textile company overseas

(d)

the creation of a wholly owned business firm overseas

International trade was developed by

(a)

Adam Smith and Ricardo

(b)

Eli Heckscher and Bertil Ohlin

(c)

Ricardo and A.C. Pigou

(d)

Adam Smith and Ohlin

_________ is one of the types of BoP disequilibrium.

(a)

Income terms of trade

(b)

Devaluation

(c)

Structural

(d)

FDI

_________ refers to foreign currencies.

(a)

BOT

(b)

FOREX

(c)

BOP

(d)

FUND

A country's _________ also determines the exchange rate.

(a)

Terms of trade

(b)

Trade

(c)

Policy issue

(d)

Internal trade

Which of the following is not a subject matter of economics?

(a)

Pure Theory of Trade

(b)

International Cartels and Trade Blocs

(c)

Fiscal Federalism

(d)

International Financial and Trade Regulatory Institutions

The modern theory of international trade explains the causes for …………….?

(a)

comparative cost difference

(b)

absolute cost difference

(c)

comparative cost similarities

(d)

absolute cost similarities

What is the main difference between Adam Smith and Ricardo with regard to the emergence of foreign trade?

Define Terms of Trade.

Define Comparative Cost Advantage.

List out the types of BOP Disequilibrium.

What do you mean by exchange control?

Write a brief note on flexible exchange rate.

State the objectives of Foreign Direct Investment.

What are the Determinants of Exchange Rates?

What are the major sectors benefitted from FDI in India?

List the assumption of Comparative advantage theory of international trade.

Explain the relationship between Foreign Direct Investment and Economic development.

Explain the disadvantages of FDI.

List the offers of International specialization.