General Knowledge MCQs
Topic Notes: General Knowledge
MCQs and preparation resources for competitive exams, covering important concepts, past papers, and detailed explanations.
Plato
- Biography: Ancient Greek philosopher (427–347 BCE), student of Socrates and teacher of Aristotle, founder of the Academy in Athens.
- Important Ideas:
- Theory of Forms
- Philosopher-King
- Ideal State
11
What type of duties are allowed under WTO rules when a foreign company is selling goods for less than their normal price in the home market (dumping)?
Answer:
Anti-Dumping Duties
The WTO's Anti-Dumping Agreement allows countries to impose special tariffs on dumped imports if they threaten domestic industry.
12
A key function of the WTO is to act as a **forum for trade negotiations**. Which major round led to the creation of the WTO itself?
Answer:
The Uruguay Round
The Uruguay Round (1986-1994) transformed GATT from a set of rules into a permanent international institution: the WTO.
13
The **GATS Agreement** (General Agreement on Trade in Services) governs which sector of global trade?
Answer:
Services (e.g., finance, telecom, tourism)
GATS extends the multilateral trading system to the service sector, covering four modes of delivery.
14
The WTO agreements allow members to impose which type of temporary measure to deal with a sudden surge in imports that causes serious injury to a domestic industry?
Answer:
Safeguards
Safeguards are temporary restrictions (tariffs or quotas) applied globally to imports to allow domestic industry time to adjust to increased competition.
15
What is the purpose of the **National Treatment** principle (GATT Article III)?
Answer:
To treat foreign goods and services no less favorably than domestically produced goods and services once they have entered the market.
National Treatment is the second key non-discrimination principle, ensuring that internal taxes or regulations do not unfairly protect domestic production.
16
The **TRIPS Agreement**, administered by the WTO, deals with trade-related aspects of which specific area?
Answer:
Intellectual Property Rights
The TRIPS (Trade-Related Aspects of Intellectual Property Rights) Agreement is the most comprehensive multilateral agreement on intellectual property.
17
The WTO's **Dispute Settlement Body (DSB)** is considered crucial for the multilateral trading system because its rulings are:
Answer:
Automatic and legally binding on the parties involved.
The DSB is the teeth of the WTO, providing a credible system for enforcing the rules and resolving trade disputes.
18
What does the principle of **Most-Favoured-Nation (MFN)** treatment require of WTO members?
Answer:
Granting the same trade advantages to all other WTO members equally and unconditionally.
MFN (GATT Article I) is the non-discrimination principle requiring a country to treat all its trading partners equally.
19
Which of the following is NOT one of the WTO's fundamental guiding principles?
Answer:
Commitment to Free Trade at any cost.
While committed to liberalization, the WTO allows exceptions (e.g., for security or health). Its principles are Non-discrimination, Free Trade, Predictability, Encouraging Development, and Transparency.
20
What is the highest decision-making body of the WTO, which must meet at least once every two years?
Answer:
The Ministerial Conference
The Ministerial Conference is the supreme body of the WTO. All members are represented and decisions are made by consensus.