Economics Money Banking and International Trade Test 7 Mcqs Preparation Online Money Banking and International Trade Test 7 Mcqs Preparation Online 1. What would be the impact on the country's balance of payments position, when in the context of inflationary pressures recourse is taken to expenditure reducing policies?A. Highly unfavourable B. NeutralC. Unfavourable D. Favourable Loading... 2. Dynamic factors in the realm of international trade theory relate to changes in?A. Factor endowments B. All of the aboveC. Technical knowledge and methods of production D. Income Loading... 3. If the increase in exports exceeds the increase in imports, and other things remain the same, then the level of income will?A. Move in an uncertain mannerB. Remain the same C. Rise D. Fall Loading... 4. If the elasticity of foreign demand for the country's exports is unity, the supply curve of foreign exchange will be?A. Positively sloping from left to rigt B. Backward bending C. HorizontalD. Vertical Loading... 5. Of the following concepts of term of trade, which one was introduced by F.W. Taussig?A. Real cost terms of trade B. Commodity terms of trade C. Income terms of trade D. Double fact oral terms of trade Loading... 6. Which of the following items in the balance of payments is invisible?A. Foreign investment B. Foreign travel C. Government expenditure abroad D. Goods exported Loading... 7. Which of the following was not favoured by the mercantilists?A. Free tradeB. Import restrictionC. Export promotion D. Accomulation of gold by the country Loading... 8. The devaluation of currency by a country is designed to lead to?A. All of theseB. Contraction of import trade C. Promotion of import substitution D. Expansion of the export trade Loading... 9. The spot and forward markets in foreign exchange are linked to each other through?A. Hedging B. Interest arbitrage C. Speculation D. All of the above Loading... 10. A deficit disequilibrium in the balance of payments can be corrected through?A. Monetary squeezeB. Exchange controls and import quotas C. Devaluation D. All of the above Loading... Loading... Related PostsMoney Banking and International Trade Test 1 Mcqs…Money Banking and International Trade Test 2 Mcqs…Money Banking and International Trade Test 3 Mcqs…Money Banking and International Trade Test 4 Mcqs…Money Banking and International Trade Test 5 Mcqs…Money Banking and International Trade Test 6 Mcqs… Continue Reading Previous Money Banking and International Trade Test 6 Mcqs Preparation OnlineNext National Income Accounting Test 1 Mcqs Preparation Online Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Δ