What is the primary goal of the World Trade Organization (WTO)?
A) To regulate global financial institutions
B) To promote world peace
C) To facilitate international trade by regulating and promoting trade agreements
D) To enforce trade sanctions
Which of the following is a function of the World Trade Organization?
A) To control foreign investment in member countries
B) To monitor and administer trade agreements
C) To set tax rates for international companies
D) To issue loans to developing countries
Which of the following is a key principle of the WTO?
A) National security restrictions override trade agreements
B) Protectionism is encouraged to safeguard domestic industries
C) Trade should be as free as possible, with minimal barriers
D) Tariffs and quotas should be unlimited
How many countries were members of the WTO as of 2021?
A) Over 150
B) Over 200
C) Exactly 100
D) Exactly 50
What is the Dispute Settlement Body (DSB) in the WTO responsible for?
A) Settling trade disputes between member countries
B) Setting global prices for commodities
C) Drafting new trade agreements
D) Monitoring global foreign investments
The WTO’s trade negotiations are based on which principle?
A) Bilateral agreements only
B) Multilateral trade agreements
C) Unilateral trade policies
D) Regional trade alliances
Which of the following is NOT a role of the World Trade Organization?
A) Monitoring trade policies of member countries
B) Administering trade agreements
C) Providing financial aid to developing countries
D) Settling disputes related to trade
The WTO replaced which of the following organizations?
A) International Monetary Fund (IMF)
B) General Agreement on Tariffs and Trade (GATT)
C) World Bank
D) United Nations Conference on Trade and Development (UNCTAD)
What does the WTO aim to promote through its trade negotiations?
A) Regional customs unions
B) Global economic stability through tariffs
C) Free and fair global trade
D) National protectionism
Which of the following is a function of the WTO’s Trade Policy Review Mechanism?
A) To enforce sanctions on non-compliant countries
B) To review the trade policies of all member countries periodically
C) To establish global minimum wages
D) To set the global interest rates for trade loans
Which agreement is the WTO responsible for administering?
A) Paris Agreement on Climate Change
B) Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS)
C) European Union Common Agricultural Policy
D) Treaty on the Non-Proliferation of Nuclear Weapons
Which is one of the main functions of the WTO’s General Council?
A) To elect the WTO Director-General
B) To resolve disputes between non-member countries
C) To oversee the implementation of WTO agreements
D) To draft new international environmental laws
Which of the following issues is NOT typically addressed by the WTO?
A) Agricultural subsidies
B) Intellectual property rights
C) Environmental protection standards
D) Military trade agreements
What is the WTO’s stance on tariffs?
A) Tariffs should be set as high as possible to protect domestic industries
B) Tariffs should be eliminated entirely in all cases
C) Tariffs should be reduced to foster international trade
D) Tariffs should only be applied to certain countries based on political factors
Which of the following is an objective of the WTO’s Trade-Related Investment Measures (TRIMs) Agreement?
A) To regulate foreign direct investment in developing countries
B) To prevent trade-distorting investment measures by members
C) To impose penalties on companies violating trade agreements
D) To set uniform global wages for foreign workers
Which of the following is a feature of WTO’s most favored nation (MFN) principle?
A) All members must treat all other members equally in trade relations
B) Members must provide special privileges to the poorest countries
C) Only developed countries are granted MFN status
D) The MFN status applies only to trade in services
How does the WTO handle trade disputes between member countries?
A) Through diplomatic negotiations and sanctions
B) By providing a neutral forum for dispute resolution
C) By issuing financial penalties to offending countries
D) By blocking trade relations between countries in conflict
The WTO is headquartered in which city?
A) Washington, D.C.
B) Geneva, Switzerland
C) New York City
D) Brussels, Belgium
Which of the following best describes the WTO’s approach to trade barriers?
A) It encourages the complete abolition of trade barriers globally
B) It encourages trade barriers only for developing countries
C) It aims to reduce trade barriers through multilateral negotiations
D) It allows countries to set their own trade barriers without restrictions
The WTO plays a key role in the regulation of which area of global commerce?
A) Financial institutions and banking regulations
B) Labor laws and employment regulations
C) Trade in goods, services, and intellectual property
D) International environmental standards
Which of the following statements is true about the WTO’s trade negotiations?
A) They are conducted exclusively between large countries
B) They aim to harmonize global taxation laws
C) They focus on reducing tariffs, subsidies, and trade restrictions
D) They are mainly concerned with military trade agreements
How often do WTO members participate in the Trade Policy Review Mechanism?
A) Once every five years
B) Every two years
C) Every year
D) Once every ten years
What is the WTO’s position on the protection of intellectual property rights?
A) Intellectual property rights should be disregarded in trade agreements
B) Intellectual property should be protected through global agreements like TRIPS
C) Intellectual property is only relevant for developed countries
D) The WTO does not address intellectual property rights
Which of the following is an example of a trade dispute handled by the WTO?
A) Disagreements over climate change agreements
B) A dispute over unfair trade practices, like dumping of goods at below-market prices
C) A conflict over military alliances between member countries
D) A dispute over immigration policies
What is the purpose of the WTO’s plurilateral trade agreements?
A) To allow some countries to make trade deals without other members’ involvement
B) To increase tariffs on specific industries globally
C) To protect the environment by limiting trade
D) To enforce tariffs on non-member countries
The WTO’s Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement aims to:
A) Encourage countries to create their own intellectual property laws
B) Set international standards for the protection of intellectual property
C) Eliminate intellectual property rights entirely
D) Allow unlimited free access to intellectual property
Which of the following is an impact of WTO membership on developing countries?
A) They must reduce tariffs and quotas to align with WTO agreements
B) They receive financial support to improve infrastructure
C) They gain automatic access to developed countries’ markets without restrictions
D) They can avoid trade regulations under WTO rules
