I.Com part 2 Principles of Economics Chapter 5 Short Question Preparation

12th Class Principles of Economics
Chapter 5

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12th Class Principles of Economics Chapter Wise Preparation

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Chapter 3
Chapter 4
Chapter 5
Chapter 6
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Chapter 8
Chapter 9
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Economics - ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation

Question # 1

What is meant by balance of payments.

Ans 1: The systematic record of visible and invisible exports and imports of a conntry in one year is called balnce of payments.

Question # 2

Write four measures to improve balance of payments of country.

Ans 1: 1- Increase in exports 2- Decreasein imports 3- Devaluation in currency
Ans 2: 4- Decrease in quantity of money

Question # 3

What is meant by deficit or unfavourable balance of trade.

Ans 1: If the value of visible exports of a country is lass that the value of its visible imports then its balance of trade wil be deficit or unfavorable.

Question # 4

How many are components of capital account.

Ans 1: Three

Question # 5

Write four main functions of WTO.

Ans 1: 1- It cooperates with different international organizations on matters related to trade.
Ans 2: 2- It is responsible to settle down trade disputes which may arise between the countries.
Ans 3: 3- It arranges training and provides technicla assistance to developing countries.
Ans 4: 4- It supervises the trade policies of its memebr counties.

Question # 6

Write four advantages of multinatinal corporation.

Ans 1: 1- Availability of goods at low prices
2- Increase in the productionf of goods
Ans 2: 3- Increase in efficiency of labourers
4- Increase in the employment opportunities.

Question # 7

What is meant by deficit or unfavourable balance of payments.

Ans 1: If a country exports its visible and invisible goods of less value than the value of its imports of visible and invisible goods then, Its balance of payments willbe deficits or unfavourable.

Question # 8

What is meant by surplus balance of trade.

Ans 1: If a country exports visile goods having more value than tha tof visible goods imported by it. the balance of trade is said to be surplus of favourable.

Question # 9

What can be the other name of comparative cost theory.

Ans 1: General theory of international trade.

Question # 10

Who did present absolute advantage theory of international trade.

Ans 1: Prof. Adam Smith presented the absolute advantage theory of international trade

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Prepare Complete Set Wise Questions For Chapter 5 "ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation "

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ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 1

Question # 1

What is meant by balance of payments.

Ans 1: The systematic record of visible and invisible exports and imports of a conntry in one year is called balnce of payments.

Question # 2

Write four measures to improve balance of payments of country.

Ans 1: 1- Increase in exports 2- Decreasein imports 3- Devaluation in currency
Ans 2: 4- Decrease in quantity of money

Question # 3

What is meant by deficit or unfavourable balance of trade.

Ans 1: If the value of visible exports of a country is lass that the value of its visible imports then its balance of trade wil be deficit or unfavorable.

Question # 4

How many are components of capital account.

Ans 1: Three

Question # 5

Write four main functions of WTO.

Ans 1: 1- It cooperates with different international organizations on matters related to trade.
Ans 2: 2- It is responsible to settle down trade disputes which may arise between the countries.
Ans 3: 3- It arranges training and provides technicla assistance to developing countries.
Ans 4: 4- It supervises the trade policies of its memebr counties.

Question # 6

Write four advantages of multinatinal corporation.

Ans 1: 1- Availability of goods at low prices
2- Increase in the productionf of goods
Ans 2: 3- Increase in efficiency of labourers
4- Increase in the employment opportunities.

Question # 7

What is meant by deficit or unfavourable balance of payments.

Ans 1: If a country exports its visible and invisible goods of less value than the value of its imports of visible and invisible goods then, Its balance of payments willbe deficits or unfavourable.

Question # 8

What is meant by surplus balance of trade.

Ans 1: If a country exports visile goods having more value than tha tof visible goods imported by it. the balance of trade is said to be surplus of favourable.

Question # 9

What can be the other name of comparative cost theory.

Ans 1: General theory of international trade.

Question # 10

Who did present absolute advantage theory of international trade.

Ans 1: Prof. Adam Smith presented the absolute advantage theory of international trade

Submit

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 2

Question # 1

What is meant by balance of trade.

Ans 1: The sytematic record of the money value of visible imports and visible exports of a country in one year is called balance of trade.

Question # 2

Write items of balance of payments.

Ans 1: 1- Visible imports and exports.
Ans 2: 2- Invisible items.

Question # 3

Write four causes of deficit balance of payment sof a country.

Ans 1: 1- Decreasein exports 2- Increase in imports 3- Inflation
Ans 2: 4- Unfavourable terms of trade

Question # 4

Write four advantages of globalisation.

Ans 1: 1- Use of better technology 2- Availability of better quality goods
Ans 2: 3- Repidness in developmental works
Ans 3: 4- Arising of atmosphere of brotherbood

Question # 5

When is balanc eof payment surplus.

Ans 1: Balance of payment is surplus when current account is surplus

Question # 6

Write a few disadvantages of international trade.

Ans 1: 1- Dependence on productionof limited goods.
Ans 2: 2- Dependence on other countries.
Ans 3: 3- International effects of inflation and deflation on the economy
Ans 4: 4- Loss to backward countries.
Ans 5: 5- Monopoly of developed countries on international market

Question # 7

Write four causes of deficit balance of payments of country.

Ans 1: 1- Decrease in exports.
Ans 2: 2- Increase in imports
Ans 3: 3- inflation
Ans 4: 4- Unfavourable terms of trade

Question # 8

Write four disadvantages of WTO.

Ans 1: 1- Unfavourable economic condition
Ans 2: 2- Provision of commodities injurious to health
Ans 3: 3- Decrease in Reserves of foreign exchange
Ans 4: 4- Obstacles in the way of set up of new industires.

Question # 9

Write four advantages of WTO.

Ans 1: 1- Peaceful solution of trade differences.
Ans 2: 2- Elimination of taxes oon transportation
Ans 3: 3- Guarantor of peace and Safety
Ans 4: 4- Cheap provision of Necessities of life.

Question # 10

What is multinational or transnationlal corporation.

Ans 1: A mutinational coporation or multinational enterprise or transnational cooporation is a corporation that manages production establishments or delivers services in a at least two countries.

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ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 3

Question # 1

Write items of balance of payments.

Ans 1: 1- Visible imports and exports.
Ans 2: 2- Invisible items.

Question # 2

Write four casues of deficit balance of payments.

Ans 1: 1- Decrease in exports 2- Increase in imports
Ans 2: 3- Unfavorable terms of trade 4- Inflation

Question # 3

What is meant by balance of payments.

Ans 1: The systematic record of visible and invisible exports and imports of a conntry in one year is called balnce of payments.

Question # 4

Define balance of pyment in the word of Prof.Samuclson.

Ans 1: International balance of payments is all the transaction for which either foreign exchang is spent or received.

Question # 5

Which are inivisible items of balance of payments.

Ans 1: 1- Rewards of the services of foreign companies.
Ans 2: 2- Expenditure on education in foreign countries.
Ans 3: 3- Expenditure on treatment i foreign countries.
Ans 4: 4- Expenditure on tourism
Ans 5: 5- Expenditure on political, cultural and trade delegates.

Question # 6

Name the classical theories of international trade.

Ans 1: 1- Absolute advantage theory of Adam Smith
Ans 2: 2- Comparative cost theory of Richardo

Question # 7

Difference between national and international trade.

Ans 1: The trade that takes place between the individuals living in the same country is caleld national or internal trade. Conversely, the trade that takes place among the individuals living in differen countries of the world is called internatioal or external trade

Question # 8

Write a few disadvantages of international trade.

Ans 1: 1- Dependence on productionof limited goods.
Ans 2: 2- Dependence on other countries.
Ans 3: 3- International effects of inflation and deflation on the economy
Ans 4: 4- Loss to backward countries.
Ans 5: 5- Monopoly of developed countries on international market

Question # 9

What can be the other name of comparative cost theory.

Ans 1: General theory of international trade.

Question # 10

Write four advantages of globalisation.

Ans 1: 1- Use of better technology 2- Availability of better quality goods
Ans 2: 3- Repidness in developmental works
Ans 3: 4- Arising of atmosphere of brotherbood

Submit

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 4

Question # 1

Name the classical theories of international trade.

Ans 1: 1- Absolute advantage theory of Adam Smith
Ans 2: 2- Comparative cost theory of Richardo

Question # 2

Difference between national and international trade.

Ans 1: The trade that takes place between the individuals living in the same country is caleld national or internal trade. Conversely, the trade that takes place among the individuals living in differen countries of the world is called internatioal or external trade

Question # 3

What is meant by deficit or unfavourable balance of trade.

Ans 1: If the value of visible exports of a country is lass that the value of its visible imports then its balance of trade wil be deficit or unfavorable.

Question # 4

Write six advantages of intenational trade.

Ans 1: 1- Acquisition of foreign goods.
Ans 2: 2- Availability of goods in cse of shortage 3- Export of surplus production
Ans 3: 4- It causes international peace 5- Removal of monopolies
Ans 4: 6- Optimum use of productive resoruces.

Question # 5

Write four disadvantages of multinational corporations.

Ans 1: 1- discouragement of local industries 2- Establishment of monopolies.
Ans 2: 3- Transfer of resources in foreign countries
Ans 3: 4- Fear of external interference

Question # 6

What is meant by surplus or favourable balacnce of payments.

Ans 1: If a country exports its visible and invisible goods of more valeu than the value of its imports of visible and invisible goods, thenits balacne of payments will be surplus or favourable.

Question # 7

How many are components of capital account.

Ans 1: Three

Question # 8

What are three components of current account.

Ans 1: Balance of trade, Services and non transferable private transfers.

Question # 9

Write formula o terms of trade.

Ans 1: Terms of trade=
export price index of current year/ import price index of current yearx100

Question # 10

Write four advantages of multinatinal corporation.

Ans 1: 1- Availability of goods at low prices
2- Increase in the productionf of goods
Ans 2: 3- Increase in efficiency of labourers
4- Increase in the employment opportunities.

Submit

12th Principles of Economics Chapter 5 Preparation

Short Questions
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I.Com part 2 Principles of Economics Chapter 5 Short Question Preparation

12th Class Principles of EconomicsChapter 5

12th Class Principles of Economics Chapter Wise Preparation

Online Short Questions For Chapter 5 "ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation "

Economics - ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation

What is meant by balance of payments.

Write four measures to improve balance of payments of country.

What is meant by deficit or unfavourable balance of trade.

How many are components of capital account.

Write four main functions of WTO.

Write four advantages of multinatinal corporation.

What is meant by deficit or unfavourable balance of payments.

What is meant by surplus balance of trade.

What can be the other name of comparative cost theory.

Who did present absolute advantage theory of international trade.

Prepare Complete Set Wise Questions For Chapter 5 "ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation "

Set 1

Set 2

Set 3

Set 4

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 1

What is meant by balance of payments.

Write four measures to improve balance of payments of country.

What is meant by deficit or unfavourable balance of trade.

How many are components of capital account.

Write four main functions of WTO.

Write four advantages of multinatinal corporation.

What is meant by deficit or unfavourable balance of payments.

What is meant by surplus balance of trade.

What can be the other name of comparative cost theory.

Who did present absolute advantage theory of international trade.

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 2

What is meant by balance of trade.

Write items of balance of payments.

Write four causes of deficit balance of payment sof a country.

Write four advantages of globalisation.

When is balanc eof payment surplus.

Write a few disadvantages of international trade.

Write four causes of deficit balance of payments of country.

Write four disadvantages of WTO.

Write four advantages of WTO.

What is multinational or transnationlal corporation.

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 3

Write items of balance of payments.

Write four casues of deficit balance of payments.

What is meant by balance of payments.

Define balance of pyment in the word of Prof.Samuclson.

Which are inivisible items of balance of payments.

Name the classical theories of international trade.

Difference between national and international trade.

Write a few disadvantages of international trade.

What can be the other name of comparative cost theory.

Write four advantages of globalisation.

ICom Part 2 Principles of Economics Chapter 5 Short Questions Preparation - Set 4

Name the classical theories of international trade.

Difference between national and international trade.

What is meant by deficit or unfavourable balance of trade.

Write six advantages of intenational trade.

Write four disadvantages of multinational corporations.

What is meant by surplus or favourable balacnce of payments.

How many are components of capital account.

What are three components of current account.

Write formula o terms of trade.

Write four advantages of multinatinal corporation.

12th Principles of Economics Chapter 5 Preparation

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12th Class Principles of Economics
Chapter 5