Calicut University 2009 B.A Economics ch, – VI : Optional (D) : International - Question Paper

I. select the accurate ans. Write only the alphabet :

1) Who is the writer of 'Principles of Political Economy and Taxation' ?
a) Adam Smith b) J.S. Mill
c) Hecksher d) David Ricardo

2) The elasticity approach is developed in the field of international trade. Which of
the subsequent is considered as its purpose ?
a) to analyse the effects of exports
b) to analyse the effects of imports
c) to analyse the effects of devaluation
d) none of the above

3) Who developed the opportunity Cost Theory ?
a) Haberler b) Ricardo
c) Samuelson d) Ohlin

4) The predecessor of WTO
a) GATT b) GATS
c) IMF d) IDA

5) The Current EXIM Policy covers the period of
a) 2002 – 2007 b) 2007 – 2012
c) 2005 – 2010 d) none of the above (5×1=5 Marks)

II. State actual or false :

6) Exchange control is a method of correcting disequilibrium in the balance of
payments.
7) Input-output model is successfully employed by Samuelson.
8) Infant Industry argument is an instrument used for free trade.
9) Reciprocal demand curve is also known as offer curve.
10) IMF and IDA are called Brettonwood Twins. (5×1=5 Marks)

III. Fill in the blanks :
11) WTO came into existence in the year _________
a) 1996 b) 1995
12) ________ depends not only on the tariff on the commodity produced but also
on the input coefficients and tariffs on the inputs.
a) Optimum tariff b) Effective tariff
13) __________ is a trade barrier.
a) Exchange control b) Quantitative Restrictions
14) __________is an asset created by IMF.
a) Euro-dollar b) Special drawing rights
15) ____________ avoids risks associated with the trade.
a) Hedging b) Arbitrage (5×1=5 Marks)

IV. describe any 4 of the subsequent :
16) Devaluation.
17) Terms of trade.
18) Opportunity cost
19) Custom duty
20) Partial convertibility. (4×1=4 Marks)

V. ans any 7 of the subsequent not more than half a page :
21) Distinguish ranging from inter-regional and international trade.
22) discuss trade as an engine of growth.
23) elaborate the arguments against free trade ?
24) Major functions of WTO.
25) Direction of foreign trade in India.
26) Effects of deficit in balance of payment.
27) Limitations of absolute advantage theory.
28) elaborate the concepts of terms of trade ?
29) discuss the concept of optimum tariff.
30) discuss foreign trade multiplies. (7×3=21 Marks)

VI. ans any 6 of the subsequent. every not more than 1 page :
31) discuss the impact of tariffs in partial Equilibrium Analysis.
32) elaborate the limitations and importance of offer curve ?
33) elaborate the consequences of disequilibrium in balance of payments ?
34) Critically review the functions of World Bank.
35) provide a brief sketch of international monetary system.
36) elaborate the measures adopted by the Govt. to accurate deficit before 1991 ?
37) elaborate the instruments of export promotion ?
38) discuss the importance and scope of international economics.
39) discuss the importance of terms of trade.
40) discuss the exchange control methods. (6×5=30 Marks)

VII.Answer any 3 of the subsequent not exceeding 3 pages.
41) discuss Heckscher-Ohlin theorem.
42) discuss the measurement and distribution of gains from trade.
43) discuss the role of WTO in promoting the trade of developing economics.
44) Critically review the trade reforms of India.
45) elaborate the limitations of devaluation ? Show its relevance in the situation of
Indian economy.
46) discuss the components of balance of payments. Show its pattern in India during
post-reform period. (10×3=30 Marks)

Earning:   Approval pending.