Question : 101.The Smoot-Hawley Act had a damaging effect _____. A. the balance-of-payment : 1299314

101.The Smoot-Hawley Act had a damaging effect on _____.  

A. the balance-of-payment of the United States

B. cash flow in the domestic economy of the United States

C. prices of natural resources in the United States

D. employment abroad

E. accrued liabilities of the United States.

102.Which of the following multilateral agreements was established under U.S. leadership in 1947, with the objective to liberalize trade by eliminating tariffs, subsidies, import quotas, and the like?  

A. General Agreement of Tariffs and Trade (GATT)

B. North American Free Trade Agreement (NAFTA)

C. Central American Free Trade Agreement (CAFTA)

D. Free Trade Areas of the Americas (FTAA)

E. North Atlantic Treaty Organization (NATO)

103.Which of the following statements is true regarding GATT?  

A. GATT attempted to liberalize trade restrictions in one go.

B. In its early years, GATT was unsuccessful and hence was superseded by the World Bank.

C. GATT regulations were mostly enforced by the EU nations rather than by a mutual monitoring mechanism.

D. Tariff reductions through negotiations were completed in three rounds.

E. The last round for tariff reduction, the Uruguay Round, was launched in 1986 and completed in December 1993.

104.One of the reasons why protectionist pressures arose around the world during the 1980s was:  

A. that many countries found ways to get around GATT regulations.

B. the opening up of national markets to cheap products from China.

C. the fall of the Soviet Union.

D. the persistent trade lead taken by the United States.

E. the Japanese failure in industries such as automobiles and semiconductors that strained the world trading

105.Which of the following is most likely to be the reason for the rise in protectionist pressures around the world during the 1980s?  

A. The strict GATT bureaucracy in Geneva controlling trade regulations

B. The opening up of International markets to cheap products from China

C. The fall of the Soviet Union

D. The persistent trade lead taken by the United States

E. The economic success of Japan which strained the world trading system

106.Which of the following best explains the reason for rise in protectionist pressures around the world during the 1980s?  

A. The strict GATT bureaucracy in Geneva controlling trade regulations

B. The opening up of international markets to cheap products from China

C. The fall of the Soviet Union

D. The persistent trade deficit in the world’s largest economy, the United States

E. The economic failure of Japan which hampered the global economy

107._____ is one of the ways in which countries can circumvent GATT regulations and is best exemplified by the agreement between Japan and America under which Japanese producers promised to limit their auto imports into the United States.  

A. Voluntary export restraint

B. Export quotas

C. Specific tariff

D. Quota rent

E. Local content requirement

108.Bilateral voluntary export restraints, or VERs, circumvented GATT agreements, because:  

A. these nations withdrew their membership to the GATT.

B. the member nations had ceased to recognize GATT as a regulatory body for international trade.

C. VERs were not a recognized trade barrier under the GATT constitution.

D. neither the importing country nor the exporting country complained to the GATT bureaucracy for it to take action.

E. member nations erected a wall of tariff barriers.

109.The main effect of the Uruguay Round Agreement on agriculture sector was:  

A. the imposition of caps on textile exports.

B. the substantial reduction in farm subsidies.

C. the increment in tariffs on agricultural produce.

D. exemption of a wide range of agricultural services from GATT rules.

E. that the GATT rules were extended to processed agricultural goods.

110.Which of the following is a provision of the Uruguay Round Agreement?  

A. A wide range of services were to be excluded from GATT fair trade and market access rules.

B. Tariffs on industrial goods were to be raised by more than one-third, and tariffs were to be scrapped on more than 50 percent on wide range of services.

C. The International Monetary Fund (IMF) was to be created to implement the GATT agreement.

D. Barriers on trade in textiles were to be significantly reduced over 10 years.

E. Average tariff rates imposed by developed nations on manufactured goods were to be raised by 20 percent of the value, the highest level in modern history.