Chapter 9 – Global Integration and Multilateral Organizations

The WTO is a predecessor organization of the GATT
1. True
2. False
The European Bank for Reconstruction and Development is responsible for financial sector regulation in Europe.
1. True
2. False
The IMF provides financial support to countries with temporary imbalances in their balance of trade.
1. True
2. False
The Kyoto agreement and the Copenhagen accord aimed to address the challenges of climate change
1. True
2. False
ASEAN is a regional free trade area in Africa.
1. True
2. False
The negotiations over global regulation of the financial sector following the financial crisis of 2008/09 are known as ‘Doha round’ negotiations.
1. True
2. False
Which is not one of the main areas of the WTO
1. GATT
2. GATS
3. TRIPS
4. MIA
Free trade areas can have a negative effect on economic welfare because of the
1. Trade diversion effect
2. Trade creation effect
3. Trade reduction effect
4. Trade exploitation effect
Which is not a role performed by the IMF?
1. Lending to countries in temporary financial difficulties.
2. Monitoring the global economy.
3. Financing economic development projects.
4. Providing technical assistance to developing countries.
Which of the following statements on the trade regime of the USA is false?
1. The USA have bilateral free trade agreements with more than a dozen countries around the world,
2. The USA are a member of the WTO,
3. The USA are a member of NAFTA,
4. The USA are a member of ASEAN,
Which of the following statements best describes the role of the World Bank?
1. The World Bank provides finance for large development projects in developing countries, such as transportation infrastructure, agricultural irrigation or banking sector reform.
2. The World Bank provides subsidies for large development projects in developing countries, such as transportation infrastructure, agricultural irrigation or banking sector reform,
3. The World Bank is a commercial bank that focuses on banking in developing countries,
4. The World Bank has a role similar to Central Banks in individual nation states, and acts as lender of last resort to secure the liquidity of the global financial system.
The committee of regulators and central bankers that is setting standards for financial sector regulation, such as minimum equity requirements, is known as:
1. IMF
2. Kyoto Committee
3. Basel Committee
4. EBRD

Chapter 9 – Global Integration and Multilateral Organizations

Quiz