NORTHERN QUEZON COLLEGE, INC.

Brgy. Comon, Infanta, Quezon

CONTEMPORARY WORLD
Semi-Final Examination

QUESTIONNAIRE

I. MULTIPLE CHOICE: Read the statements carefully and choose the letter that corresponds to the correct
answer. “STRICTLY NO ERASURE”
1. The removal or reduction of restrictions or barriers on the free exchange of goods between nations is
called __________.
A. Economic Development
B. Trade liberalization
C. Trade development
D. Trade protectionism
2. It is a form of regulation of foreign trade and a policy that taxes foreign products to encourage or
safeguard domestic industry. This tax is called _________.
A. Quota
B. Tariff
C. Subsidies
D. Surcharges
3. Which of the following is NOT true about the Bretton Woods System?
A. It replaced the gold standard with the U.S. dollar as the global currency.
B. The 1944 Bretton Woods agreement established a new global monetary system.
C. US allied countries fix their exchange rates by tying their currencies to the U.S. dollar.
D. The Bretton Woods System paves the way to a stable and fixed exchange rates regime.
4. The first worldwide multilateral free trade agreement is called __________.
A. ITO
B. WTO
C. MTO
D. GATT
5. The following are the advantages of General Agreement on Tariffs and Trade EXCEPT:
A. reduced the tariff
B. promoted world peace
C. improved communication and reduce misunderstanding
D. no enforcement policy to discipline parties that violate rules
6. Which of the following policy is against free trade?
A. Monetary Policy
B. Trade liberalization
C. Trade development
D. Trade protectionism
7. Which of the following is the least advantageous effect of free trade agreement?
A. Technology transfer
B. Increased job outsourcing
C. Increased economic growth
D. Lower government spending on importations
8. The International Bank for Reconstruction and Development is commonly known as __________.
A. Central Bank
B. World Bank
C. World Trade Organization
D. International Monetary Fund
9. Which of the following countries is NOT a member of International Monetary Fund?
A. China
B. Russia
C. Taiwan
D. South Africa
10. The following are the functions of IMF EXCEPT
A. promoting free trade and peace
B. giving practical help to members
C. lending to countries with balance of payments difficulties
D. keeping track of the global economy and the economies of member countries
11. Which of the following is NOT true about IMF and World Bank?
A. Both are basically a bank
B. Both aimed to help the economic stability of the world
C. IMF & World Bank were founded to complement each other.
D. World Bank served as a last resort for countries which needed financial assistance.
12. Which of the following is NOT a member-country of OECD?
A. United States
B. Scotland
C. New Zealand
D. South Korea
13. The following are the functions of OECD EXCEPT
A. to fight poverty
B. to freely trade goods
C. to help governments prosper
D. to prevent financial instability
14. The Organization of Petroleum Exporting Countries was established to
A. coordinate and unify the petroleum policies.
B. ensure the stabilization of oil markets.
C. ensure a steady income to producers.
D. all of the above.
15. The common currency used for the European Union area is __________.
A. Dollar
B. Pound
C. Lira
D. Euro
16. Which of the following is NOT true about the European Union?
A. The value of the euro is fixed.
B. The European Central Bank is the EU's central bank.
C. EU aims to promote peace and break down barriers to trade and borders.
D. European Union was created to establish a unified economic and monetary system.
17. Which of the following is NOT a member country of OPEC?
A. Angola
B. Gabon
C. Pakistan
D. Ecuador
18. Which of the following are the member-countries of NAFTA?
A. United States, Argentina, Mexico
B. United States, Cuba, Guatemala
C. United States, Canada, Mexico
D. United States, Canada, Venezuela
19. Under the renegotiation signed on September 2018 by the three North American Allied country leaders,
NAFTA is now called as __________.
A. MCA
B. YMCA
C. USMC
D. USMCA
20. Which of the following is the negative implication of North American Free Trade Agreement?
A. It caused more U.S. job losses.
B. It increases trade among the three member-countries.
C. It increases the sales and profits among the three member-countries.
D. NAFTA provided an opportunity for the U.S. to provide financial help to Mexico by making jobs
available in factories.
21. The following are the member-countries of ASEAN EXCEPT to
A. Brunei
B. Taiwan
C. Philippines
D. Singapore
22. Which of the following is NOT true about ASEAN?
A. It consists of 21 member-countries.
B. It aims to promote regional peace.
C. It was established during the Bangkok Declaration in 1967.
D. ASEAN aims to accelerate the economic growth, social progress and cultural development.
 23. Which of the following is NOT a member of APEC?
A. Chile
B. China
C. Mongolia
D. South Korea
24. Agricultural revolution paves the way for the following developments EXCEPT
A. to the growing population
B. to the establishment of permanent settlements
C. to the creation of trade networks
D. to the mass production of products
25. The following are the negative implications of Industrial Revolution EXCEPT to
A. child labor
B. the rise of labor unions
C. discrimination and low wages among women
D. poor working conditions

II. ESSAY: Explain briefly. (5 points)

1. In not less than 50 words, explain the effects of multinational companies in an economy.

END OF SEMI-FINAL EXAMINATION

𝐒𝐭𝐮𝐝𝐲 while others are sleeping; Begin while others are procrastinating.
Work while others are whishing. Save while others are wasting.
−𝑊𝑖𝑙𝑙𝑖𝑎𝑚 𝐴. 𝑊𝑎𝑟𝑑

Prepared by: Reviewed by:

JANE A. ATENDIDO, LPT, MBA DR. RUBEN A. SANCHEZ