International economics deals with
The flow of goods , services and payments among nations
directed at regulating the flow of goods , services and payments
The effects of polices on the welfare of the nation
All of the above
If in a two nation ( A and B ) , two commodity ( X and Y ) world , it is established that nation A has a comparative advantage in commodity X, then nation B must have:
An absolute advantage in commodity Y
An absolute disadvantage in commodity Y
A comparative disadvantage in commodity Y.
Comparative advantage in commodity Y
Developing countries , if compared with other country , have :
A lower rate of literacy
A greats degree of equality in the income distribution
A lower infant mortality rate
A smaller percentage of the labour force in urban areas
A rough measure of the degree of economic interdependence of a nation is given by.
The size of the nations population
The percentage of to population to its GDP
The percentage of a nation's import and exports to its GDP
Over time , the economics interdependence of nations has
Grown
Diminished
Remained unchanged
Cannot say
Economic Interdependence is grates for :
A small nations
Large nations
Developed nations
Developing nations
According to Adam smith , International trade was based on:
Absolute advantage
Comparative advantage
Both absolute and comparative advantage
Nether absolute nor comparative advantage
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
Which of the following is not the subject matter of International finance?
Foreign exchange markets
The balance of payments
The basis and the gain from trade
Polices to adjust balance of payments duse equilibria
A policy of developing local industries that can compete with imports is referred to as
Export promotion
Unbalanced growth
Industrial promotion
Import substitution
