Economics

Question 1

1A tax placed on imported goods is a

Easy

A. VAT refund B. quota C. tariff D. subsidy

Question 2

2A country should specialise in goods it can produce at a lower opportunity cost than others. This is the principle of

Easy

A. diminishing returns B. comparative advantage C. price control D. absolute poverty

Question 3

3The difference between the value of a country's visible exports and visible imports is the

Easy

A. GDP B. balance of payments C. national debt D. balance of trade

Question 4

4Import substitution industrialisation aims to

Easy

A. produce locally goods that were previously imported B. stop all trade C. import more goods D. export raw materials only

Question 5

5The Prebisch–Singer thesis argues that developing countries' terms of trade tend to

Hard

A. be irrelevant B. stay constant C. improve over time D. deteriorate over time

Question 6

6A problem of agriculture in Ghana is

Easy

A. reliance on rainfall B. too many roads C. too much mechanisation D. excess credit

Question 7

7The One District One Factory (1D1F) policy aims to

Easy

A. import all goods B. promote industrialisation across Ghana C. close factories D. reduce employment

Question 8

8Free trade means

Easy

A. barter trade B. trade without barriers such as tariffs C. trade with no money D. only local trade

Question 9

9The terms of trade compare

Medium

A. tax to spending B. the prices of exports to the prices of imports C. imports to GDP D. export volume to population

Question 10

10Comparative advantage means a country should specialise in goods it can produce at

Easy

A. a higher cost B. a lower opportunity cost C. zero cost D. any cost