International Trade - Jamb Economics Past Questions and Answers

Question 76:

• JAMB 1988

Which of the following is a good example of invisible item on balance of payments account?

A. Shipping and aviation
B. Export and imports
C. Merchandise
D. Bullion

Question 77:

• JAMB 1989

The term 'double coincidence ' of wants is usually associated with a?

A. Bilateral exchange mechanism
B. Monetary exchange mechanism
C. Stock exchange system
D. Barter exchange mechanism

Question 78:

• JAMB 1989

The stock exchange market is where?

A. Businessmen borrow some capital
B. The federal government trades on treasury bills
C. Existing bonds and stocks are traded
D. New stocks and shares are bought or sold

Question 79:

• JAMB 1989

By using exchange controls, a country tries to eliminate a balance of payments deficit by?

A. Limiting her imports to its currency value of exports
B. Reducing the nation's domestic price level
C. Limiting her exports to its currency value of imports
D. Overvaluing the country's currency

Question 80:

• JAMB 1989

The law of comparative advantage states that a country should specialize in the production of a commodity

A. For which local demand is greatest
B. In which its oportunity cost is lower than that of the trade partner
C. For which foreign demand is greatest
D. For which there is abundant supply of raw materials