Economic theory :
Seeks to explain economic events
Seeks to predict economic events
Abstracts from the many details that surrounds an economic event
All of the above
International Trade is most important to the standard of living of :
The united states
Switzerland
Germany
England
The gravity model of International trade predicts that trade between two nations is larger
The larger the two nations
The closer the nations
The more open are the two nations
Which of the following is not an assumption generally made in the study of International economics ?
Two nations
Two commodities
Perfect International al mobility of factors
Two factors of products
David Ricardo's theory in favour of free trade uses the idea of
Multilateral advantage
Mutual advantage
Absolute advantage
Comparative advantage
Economic Interdependence is greater for :
A small nations
Large nations
Developed nations
Developing nations
International trade theory refers to
The microeconomic aspects of international trade
The macroeconomic aspects of International trade
Open economy macroeconomic or International finance
The term tariff as used in International trade , refers to
A government payment to encourage exports
A tax on imports
The prices of goods when they leave the producing country
A limit on the quantity of a good that can be imported in to a country
Over time , the economics interdependence of nations has
Grown
Diminished
Remained unchanged
Cannot say
A policy of developing local industries that can compete with imports is referred to as
Export promotion
Unbalanced growth
Industrial promotion
Import substitution
