Economics MCQs

Page No. 306

Suppose that the domestic government allows a specific number of goods to be imported each year, but it does not specify from where the product is shipped or who is permitted to import Such a trade barrier is known as ?


aan import tariffs


ba tariff rate quota


c a selective quota


d a global quota


View Answer a global quota

Under a tariff- rate quota ?


aThe within-quota tariff rate exceeds the over-quota tariff rate


bthe over-quota tariff rate exceeds the with-quota tariff rate


c The within-quota tariff rate equals the over-quota tariff rate


dThe within-quota tariff rate plus over-quota tariff rate equal 100 percent



The firm would maximize profit by selling computers in the United States at a price of __________ and _________ computers in Japan at a price of __________?


a200, $2,000, 100 $1,000


b300, $1,800, 800 $800


c300, $1,800, 400 $800


d500, $1,400, 400 $800


View Answer 500, $1,400, 400 $800

Buy national policies ?


aresult in government purchase policies favoring domestic over foreign producers


bresult in government purchase policies favoring foreign over domestic producers


cattempt to restrict the number of tourists leaving a nation


dare intended to publicize the advantage of the most efficient domestic companies



What type of trade barrier was used to protect U.S auto firms from foreign competition during 1981 – 1984 ?


a export quotas imposed by the Japanese government


bexport tariffs imposed by the Japanese’s government


c import quotas imposed by the U.S government


ddomestic subsidies granted by the U.S government



________ occurs when a firm disposes on foreign markets a temporary increases in inventories caused by unforeseen changes in supply and demand conditions in the home economy?


asporadic dumping


b predatory dumping


cpersistent dumping


dforeign dumping


View Answer sporadic dumping

The form of international price discriminations (dumping) normally associated with economic recession or excess inventories in the exporting nation is known as?


a Predatory dumping


bsporadic dumping


c persistent dumping


d year end dumping


View Answer sporadic dumping

A tariff-rate quota is essentially a ?


a two tier tariff applied to a country’s imports


b three-tier tariff applied to a country’s imports


ctwo tier quota applied to a county’s exports


dthree tier quota applied to a country’s ex



Nontariff trade barriers could include all of the following except ?


a domestic content laws


bgovernment procurement policies


chealth, safety, and environmental standards


d antidumping/countervailing duties applied to imports



A(n) ________ is n example of a quota where foreigners hold quota licenses ?


aexport quota


bembargo


cauction quota


dtariff quota


View Answer export quota

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