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This set of Business Economics Multiple Choice Questions & Answers (MCQs) focuses on Business Economics Set 10

Q1 | Restrictions on the use of foreign exchange by the Central bank are called _ .
  • exchange controls
  • Official transfers
  • Foreign exchange reserves
  • LAF
Q2 |     _ are duties levied on imports.
  • Tariffs
  • Deflation
  • Exchange control
  • Qoutas
Q3 | Restrictions imposed on the quantity of imports is    _ .
  • Surplus
  • Quotas
  • Balance
  • Tariffs
Q4 | Balance of payment always _ __.
  • Deficit
  • balances
  • Surplus
  • Equal
Q5 |     _ term long run disequilibrium as fundamental disequilibrium.
  • Tariff
  • IMF
  • trade
  • WTO
Q6 | WTO replaced _ in 1995.
  • GATT
  • WTO
  • UN
  • UNESCO
Q7 | TRIPs deals with _ .
  • intellectual property rights
  • Foreign investment
  • Foreign aid
  • Agriculture
Q8 | Protection is made available for _ years for patents.
  • 20
  • 30
  • 10
  • 40
Q9 | The terms of _ is 50 years.
  • copyright
  • Services
  • patent
  • Trademarks
Q10 | The current account of balance of payment does not include :
  • Balance of visible trade
  • Import of services
  • Unilateral services
  • Foreign investment
Q11 | Pick out the item which is not a part of unilateral transfers.
  • Gifts
  • Grants
  • Loan
  • Donation
Q12 | Donations, grants, gifts and such other payments which do not have counter obligations are known as :
  • Grants
  • Aid
  • Unilateral flows
  • Bilateral flow
Q13 | If the deficits in a country’s BOP persists for a long time it is a case of :
  • Structural disequilibrium
  • Fundamental disequilibrium
  • Cyclical disequilibrium
  • temporary disequilibrium
Q14 | Disequilibrium in the BOP caused by changes in the demand or supply relations of exports or imports or both refer to :
  • Cyclical disequilibrium
  • Short Run disequilibrium
  • Structural disequilibrium
  • Fundamental disequilibrium
Q15 | Which of the following is not a non monetary measure to correct the disequilibrium in BOP ?
  • Tariff
  • Import quotas
  • Export promotion
  • Devaluation
Q16 | TRIMS include measures to :
  • Treat foreign investment on par with domestic income
  • Remove quantitative restrictions
  • Treat foreign investment on par with domestic investment
  • Remove qualitative retrictions
Q17 | Pick out the one which is not true of GATS :
  • Services and service activities are covered under GATS
  • National treatment to members
  • No market access to service supplier’s
  • No discrimination between service suppliers
Q18 | Pick out the feature which is not true of the Agreement on Agriculture.
  • Reduce domestic subsidies
  • reduce export subsidies
  • Increase tariffs
  • Increase trade in agricultural goods
Q19 | In balance of payment account, all goods exported and imported are recorded in _ .
  • Capital account
  • Merchandise account
  • Invisible account
  • Current account
Q20 | Gifts and charities account are also known as :
  • Export
  • Unilateral transfer
  • Import
  • Long–term borrowing
Q21 | In BOP, total receipts must be equal to total    _ .
  • payment
  • deficit
  • income
  • revenue
Q22 | Reducing the value of domestic currency in term of foreign currency :
  • Deflation
  • Exchange control
  • Tariff
  • Devaluation
Q23 | The current account in the balance of payments    _ .
  • is a total of all the visible items of trade
  • includes merchandise trade and services
  • always shows a surplus
  • includes autonomous and accommodating flows
Q24 | Good performance on _ has helped India to improve its current account balance in recent times.
  • trade account
  • invisible account
  • Capital account
  • reserves account
Q25 | After covering deficits on current account, excess capital account receipts are added to _.
  • IMF account
  • Official transfers
  • Foreign exchange reserves
  • Bank capital