What is the primary function of the World Trade Organization (WTO)?
a) To regulate global oil prices
b) To oversee international trade agreements and resolve disputes
c) To provide financial aid to developing countries
d) To set exchange rates
Which of the following is a key principle of the WTO?
a) Protectionism
b) Most-Favored-Nation (MFN)
c) Currency Manipulation
d) Trade Isolation
Which agreement within the WTO deals with agricultural trade policies?
a) TRIPS
b) GATS
c) Agreement on Agriculture (AoA)
d) SPS Agreement
Which WTO agreement governs intellectual property rights?
a) TRIPS
b) GATS
c) TBT
d) SPS
Which WTO body is responsible for reviewing national trade policies?
a) Dispute Settlement Body
b) Appellate Body
c) Trade Policy Review Body (TPRB)
d) General Council
What is the WTO’s stance on trade barriers?
a) Encourages protectionist policies
b) Supports their reduction to promote free trade
c) Implements new tariffs on global trade
d) Ignores trade barriers altogether
Which country is the largest exporter of goods globally?
a) United States
b) China
c) Germany
d) Japan
Which organization preceded the WTO?
a) United Nations
b) International Trade Center
c) General Agreement on Tariffs and Trade (GATT)
d) International Monetary Fund (IMF)
What is the highest decision-making body in the WTO?
a) General Council
b) Ministerial Conference
c) Appellate Body
d) Secretariat
Which WTO agreement regulates trade in services?
a) GATS
b) TRIPS
c) SPS
d) TBT
What does “dumping” mean in global trade?
a) Selling goods at inflated prices in foreign markets
b) Exporting goods at prices lower than their domestic price or cost
c) Imposing high tariffs on imports
d) Restricting exports to certain countries
Which term refers to a temporary increase in tariffs to protect domestic industries?
a) Tariff Escalation
b) Safeguard Measures
c) Anti-Dumping Duties
d) Most-Favored-Nation
What is the primary role of the WTO’s Dispute Settlement Body?
a) To resolve trade disputes among member countries
b) To negotiate new trade agreements
c) To impose tariffs on non-members
d) To regulate global currency exchange rates
Which country joined the WTO most recently?
a) Afghanistan
b) Kazakhstan
c) Comoros
d) Sudan
Which trade negotiation round is currently ongoing under the WTO?
a) Tokyo Round
b) Uruguay Round
c) Doha Round
d) Bretton Woods Round
What is the purpose of WTO’s Trade Facilitation Agreement (TFA)?
a) To reduce bureaucratic delays in international trade
b) To promote currency devaluation
c) To restrict imports from developing nations
d) To eliminate intellectual property rights
Which type of trade policy imposes restrictions on the quantity of imported goods?
a) Tariffs
b) Quotas
c) Subsidies
d) Dumping
Which WTO principle ensures equal treatment for domestic and foreign products?
a) National Treatment
b) Tariff Escalation
c) Currency Devaluation
d) Anti-Dumping Measures
Which organization helps resolve international investment disputes?
a) WTO
b) International Centre for Settlement of Investment Disputes (ICSID)
c) World Bank
d) IMF
What does the WTO’s Agreement on Technical Barriers to Trade (TBT) address?
a) Restrictions on agricultural exports
b) Safety, health, and environmental regulations affecting trade
c) Global oil prices
d) Foreign direct investment rules
Which economic policy promotes minimal government intervention in trade?
a) Protectionism
b) Free Trade
c) Mercantilism
d) Autarky
What does “Most-Favored-Nation” (MFN) status ensure?
a) A country receives preferential tariffs
b) Equal trade treatment among all WTO members
c) Permanent exemption from tariffs
d) Exclusive trade agreements with certain countries
Which term refers to an agreement between two or more countries to reduce trade barriers?
a) Trade Bloc
b) Customs Union
c) Free Trade Agreement
d) Tariff Quota
What is a major criticism of the WTO?
a) It favors developing nations
b) It ignores environmental concerns
c) It imposes direct taxes on global trade
d) It limits trade among member countries
What is the purpose of a customs union?
a) To allow free movement of labor across countries
b) To have a common external tariff policy
c) To promote financial aid among member states
d) To encourage currency devaluation
Which trade strategy focuses on producing goods where a country has an efficiency advantage?
a) Protectionism
b) Import Substitution
c) Comparative Advantage
d) Mercantilism
Which international organization provides loans to developing countries for trade-related projects?
a) WTO
b) World Bank
c) IMF
d) UNCTAD
