technologies
(d) The growth of international trade and the increase in international trade flows
(e) The decline of sovereignty of the nation state
04. Removing barriers or restrictions set by the government is known as
(d) fair trade practice
05. Globalisation is often criticised by political scientists on account of loss of sovereignty of the nation
06. Globalisation has proved to be advantageous for the Indian economy on account of
(a) lesser competition among producers
(b) greater competition among producers
(c) no change in competition among producers
(d) none of these
07. MNCs work in several countries to realise the benefits of globalisation. In fact, they can help the developing countries to
(1) absorb domestice labour, especially in skilled jobs
(2) increase productivity through foreign technology and innovative methods of production
(3) reduce balance of payments deficit
Select the correct combination
(a) (1) and (2) only
(b) (2) and (3) only
(c) (1), (2) and (3)
(d) none of these
08. Investment made by MNCs is called
(a) Investment ny MNCs
(b) Foriegn investment
(c) Multinational investment
(d) Investment abroad
09. WTO seeks that countries of the world negotiate on Trade liberalisation. Every participating country should get welfare gains from WTO negotiations. However in practice, some developing countries mainly in Sub Saharan Africa did not gain very much from the past rounds of trade liberalisation. Why?
(a) Specialisation of poor countries remains in same products, clothing and commodities. Relative prices of these products fell resulting in falling terms of trade which has a negative effect on welfare
(b) Developing countries demand betther access to the markets of industrialised countries while maintaining the freedom to have high trade barriers themselves. As a result, they do not liberalise themselves, thus limiting the benefits from trade liberalisation
(c) Developing countries do not benefit as the trading oppurtunities offered by trade liberalisation are captured by multinational companies
(d) (b) and (c) only
(e) (a), (b) and (c) only
10. MNC is a company
(a) that owns or controls production in more than one countries
(b) that owns or controls production in one nation
(c) that owns or controls production outside the nation
(d) all o fthe above
(01) (e) (2), (4) and (5)
(02) (a) many small producers and workers who have suffered as a result of therising competition
(03) (d) The growth of international trade and the increase in international trade flows
(04) (c) liberalisation
(05) (a) True
(06) (b) greater competition among producers
(07) (c) (1), (2) and (3)
(08) (b) Foriegn investment
(09) (d) (b) and (c) only
(10) (a) that owns or controls production in more than one countries