McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Business Administration (BBA) .
Chapters
| 251. |
Reducing public expenditure to correct BOP disequilibrium is a _ __ measure. |
| A. | Monetary |
| B. | Fiscal |
| C. | Special |
| D. | Commercial |
| Answer» B. Fiscal | |
| 252. |
_ is not a cause of deficit in balance of payments. |
| A. | increase in import |
| B. | fall in exports |
| C. | capital outflow |
| D. | capital inflows |
| Answer» D. capital inflows | |
| 253. |
Devaluation of a currency is brought about by the _ . |
| A. | World Bank |
| B. | Asian Development Bank |
| C. | International Finance Corporation |
| D. | Government |
| Answer» D. Government | |
| 254. |
When total exports are more than total imports then current account of balance of payment is in _ . |
| A. | Deficit |
| B. | Balance |
| C. | Surplus |
| D. | Unequal |
| Answer» C. Surplus | |
| 255. |
_ _ disequilibrium is chronic in nature. |
| A. | Cyclical |
| B. | Fundamental |
| C. | Structural |
| D. | Monetary |
| Answer» B. Fundamental | |
| 256. |
Expenditure switching policy is also known as _ _ . |
| A. | Devaluation |
| B. | Revaluation |
| C. | Appreciation |
| D. | Depriciation |
| Answer» A. Devaluation | |
| 257. |
_ term long run disequilibrium as fundamental disequilibrium . |
| A. | IMF |
| B. | UN |
| C. | WTO |
| D. | World Bank |
| Answer» A. IMF | |
| 258. |
WTO replaced GATT and came into existence on |
| A. | 1st January 1957 |
| B. | 1st January 1991 |
| C. | 1st January 1995 |
| D. | 1st January 1996 |
| Answer» B. 1st January 1991 | |
| 259. |
TRIPs stand for |
| A. | Trade Related Investment Property Rights |
| B. | Trade Related Investment Public Rights |
| C. | Trade Related Intellectual Property Rights |
| D. | Trade Related Investment in services |
| Answer» C. Trade Related Intellectual Property Rights | |
| 260. |
Under _ the foreign investors will be given same rights as the national investor in the matter of investment. |
| A. | TRIPs |
| B. | TRIMs |
| C. | GATs |
| D. | AoA |
| Answer» B. TRIMs | |
| 261. |
GATs deals with trade in _ . |
| A. | Services |
| B. | patent |
| C. | copyright |
| D. | trademarks |
| Answer» A. Services | |
| 262. |
TRIMs deals with _ . |
| A. | Foreign investment |
| B. | Foreign aid |
| C. | Services |
| D. | Goods |
| Answer» A. Foreign investment | |
| 263. |
_ agreement deals in trade in services |
| A. | TRIMs |
| B. | TRIPs |
| C. | GATs |
| D. | UNCTAD |
| Answer» C. GATs | |
| 264. |
The WTO agreements cover _ . |
| A. | TRIPs |
| B. | IMF |
| C. | UNCTAD |
| D. | ASEAN |
| Answer» A. TRIPs | |
| 265. |
WTO promote _ trade. |
| A. | bilateral |
| B. | multilateral |
| C. | unilateral |
| D. | restricted |
| Answer» B. multilateral | |
| 266. |
The only international organisation dealing with the global rules of trade between nations. |
| A. | WTO |
| B. | UN |
| C. | IMF |
| D. | World bank |
| Answer» A. WTO | |
| 267. |
Along with the world bank and WTO is the third economic pillar of world-wide dimensions. |
| A. | International eco |
| B. | International Monetar |
| C. | International Develo |
| D. | International funding or |
| Answer» B. International Monetar | |
| 268. |
TRIPS (trade-related aspects of intellectual property rights) agreement is administered by |
| A. | world bank |
| B. | united nations organiz |
| C. | World trade organiz |
| D. | United nations conferen |
| Answer» C. World trade organiz | |
| 269. |
Who is most recently appointed the Ambassador & Permanent Represantative of india to WTO? |
| A. | JS Deepak |
| B. | TS Deepak |
| C. | Anwar Hussain Shai |
| D. | Brajendra Navnit |
| Answer» D. Brajendra Navnit | |
| 270. |
Which of the institutions is not a part of the world bank community? |
| A. | IFC |
| B. | IDA |
| C. | WTO |
| D. | IBRD |
| Answer» C. WTO | |
| 271. |
Which of the following categories of agricultural subsidies are allowed under WTO? |
| A. | Green box |
| B. | Blue box |
| C. | Red box |
| D. | Amber box |
| Answer» A. Green box | |
| 272. |
The declaration recognised that the TRIPs agreement should protect public health. |
| A. | Brazil |
| B. | Doha |
| C. | Bandung |
| D. | Singapore |
| Answer» B. Doha | |
| 273. |
TRIMs deals with |
| A. | Foreign investme |
| B. | Foreign aid |
| C. | Services |
| D. | Goods |
| Answer» A. Foreign investme | |
| 274. |
_ refers to the rate at which the transaction take place at a future date. |
| A. | Forward exchange rate |
| B. | Arbitrage |
| C. | Spot exchange rate |
| D. | Hedging |
| Answer» A. Forward exchange rate | |
| 275. |
_ refers to the process of buying and selling a foreign currency in two different market at same time. |
| A. | Arbitrage |
| B. | Speculation |
| C. | Spot exchange rate |
| D. | Hedging |
| Answer» A. Arbitrage | |
| 276. |
Transactions in the foreign exchange market are carried out are termed as _. |
| A. | fixed rate |
| B. | forward rate |
| C. | exchange rate |
| D. | Hedging |
| Answer» C. exchange rate | |
| 277. |
Demand for foreign exchange varies _ with the exchange rates. |
| A. | Direct |
| B. | Negative |
| C. | inversely |
| D. | positive |
| Answer» C. inversely | |
| 278. |
When supply of foreign exchange is increased given the demand for foreign exchange, the rate of exchange _. |
| A. | decrease |
| B. | increases |
| C. | Direct |
| D. | upward |
| Answer» A. decrease | |
| 279. |
When demand for foreign exchange increases, the exchange rate _. |
| A. | increases |
| B. | inversely |
| C. | decrease |
| D. | unrelated |
| Answer» A. increases | |
| 280. |
The relative version is considered to be _ to absolute version. |
| A. | superior |
| B. | Gustav Cassel |
| C. | selection of index numbers |
| D. | inferior |
| Answer» A. superior | |
| 281. |
The relative version of the PPP theory is propounded by _. |
| A. | Cassel |
| B. | Adam Smith |
| C. | J.S.Mill |
| D. | Alfred Marshall |
| Answer» A. Cassel | |
| 282. |
According to _ theory, the exchange rate between two currencies is determined by their purchasing power. |
| A. | Purchasing Power Parity |
| B. | Balance of payment theory |
| C. | Mint parity theory |
| D. | Comparative advantage theory |
| Answer» A. Purchasing Power Parity | |
| 283. |
The -----------is the largest market in the world. |
| A. | foreign exchange market |
| B. | NSE |
| C. | BSE |
| D. | NASDAQ |
| Answer» A. foreign exchange market | |
| 284. |
The countries of the world are following the exchange rate system. |
| A. | fixed |
| B. | flexible |
| C. | restrictive |
| D. | strict |
| Answer» B. flexible | |
| 285. |
_ _ is a feature of the foreign exchange market which enables an investor to earn high returns. |
| A. | cost |
| B. | Leverage |
| C. | revenue |
| D. | profit |
| Answer» B. Leverage | |
| 286. |
_has enabled faster growth of the foreign exchange market. |
| A. | Technology |
| B. | Leverage |
| C. | Internaltrade |
| D. | exchange rate |
| Answer» A. Technology | |
| 287. |
__ function refer to the function of converting one currency into another. |
| A. | Arbitrage |
| B. | booking |
| C. | asking |
| D. | hedging |
| Answer» D. hedging | |
| 288. |
_ are authorized to deal in foreign exchange transactions. |
| A. | Moneylenders |
| B. | Money launderers |
| C. | Commercial banks |
| D. | RRBs |
| Answer» C. Commercial banks | |
| 289. |
Investment in financial assets like shares or bonds abroad will _- the demand for foreign exchange. |
| A. | inceae |
| B. | decrease |
| C. | keep constant |
| D. | fluctuate |
| Answer» A. inceae | |
| 290. |
A _ country requires more foreign exchange. |
| A. | developing |
| B. | developed |
| C. | hermit nation |
| D. | restrictive |
| Answer» A. developing | |
| 291. |
Services rendered by the domestic country to foreign counter parts increase the _ of foreign exchange. |
| A. | supply |
| B. | demand |
| C. | manufacture |
| D. | produce |
| Answer» A. supply | |
| 292. |
Unilateral payments received _ _ the supply of foreign exchange. |
| A. | increase |
| B. | decrease |
| C. | does not change |
| D. | drastically changes |
| Answer» A. increase | |
| 293. |
_ rate variations can affect the equilibrium exchange rate. |
| A. | Birth |
| B. | death |
| C. | inflation |
| D. | production |
| Answer» C. inflation | |
| 294. |
Interest rate differentials the exchange rate. |
| A. | affect |
| B. | tandardised |
| C. | localise |
| D. | neutralise |
| Answer» A. affect | |
| 295. |
The degree of _ achieved affect the exchange rate. |
| A. | education |
| B. | health |
| C. | growth |
| D. | currency |
| Answer» C. growth | |
| 296. |
The purchasing power parity theory the difference in the quality of goods. |
| A. | considers |
| B. | appreciates |
| C. | ignores |
| D. | values |
| Answer» C. ignores | |
| 297. |
The PPP theory _ capital transfers. |
| A. | considers |
| B. | appreciates |
| C. | ignores |
| D. | values |
| Answer» C. ignores | |
| 298. |
The _rate is determined by the demand for and supply of a currency. |
| A. | spot |
| B. | forward rate |
| C. | option |
| D. | futures |
| Answer» A. spot | |
| 299. |
The differencbetween bid price and ask price s the _ |
| A. | loss |
| B. | profit |
| C. | value |
| D. | difference |
| Answer» B. profit | |
| 300. |
_ exchange rate may be either at a premium or discount or at par. |
| A. | spot |
| B. | forward |
| C. | current |
| D. | option |
| Answer» B. forward | |
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