{"id":117705,"date":"2022-04-13T16:48:32","date_gmt":"2022-04-13T11:18:32","guid":{"rendered":"https:\/\/www.mapsofindia.com\/my-india\/?p=117705"},"modified":"2022-04-13T16:48:32","modified_gmt":"2022-04-13T11:18:32","slug":"chapter-9-international-trade-questions-and-answers-ncert-solutions-for-class-12-geography-fundamentals-of-human-geography","status":"publish","type":"post","link":"https:\/\/www.mapsofindia.com\/my-india\/education\/chapter-9-international-trade-questions-and-answers-ncert-solutions-for-class-12-geography-fundamentals-of-human-geography","title":{"rendered":"Chapter 9 – International Trade Questions and Answers: NCERT Solutions for Class 12 Geography: (Fundamentals of Human Geography)"},"content":{"rendered":"

1. Choose the right answer from the four alternatives given below:
\n(i)
\nMost of the world\u2019s great ports are classified as:
\n(a) Naval Ports
\n(b) Oil Ports
\n(c) Comprehensive Ports
\n(d) Industrial Ports<\/h2>\n

Answer:
\n(c) Comprehensive Ports<\/h3>\n

(ii)
\nWhich one of the following continents has the maximum flow of global trade?
\n(a) Asia
\n(b) North America
\n(c) Europe
\n(d) Africa<\/h2>\n

Answer:
\n(b) North America<\/h3>\n

(iii)
\nWhich one of the following South American nation, is a part of OPEC?
\n(a) Brazil
\n(b) Chile
\n(c) Venezuela
\n(d) Peru<\/h2>\n

Answer:
\n(c) Venezuela<\/h3>\n

(iv)
\nIn which of the following trade blocs, is India an associate member?
\n(a) SAFTA
\n(b) OECD
\n(c) ASEAN
\n(d) OPEC<\/h2>\n

Answer:
\n(a) SAFTA<\/h3>\n

2. Answer the following questions in about 30 words:
\n(i)
\nWhat is the basic function of the World Trade Organisation?<\/h2>\n

Answer:
\nBasic function of World Trade Organisation is to act as an international organisation to deal with the global rules of trade between nations. It sets the rules for the global trading and resolves the disputes between member nations. It is a permanent institution for looking after the promotion of free and fair trade amongst nations. WTO also covers trade in services, such as telecommunication and banking, and other issues such as intellectual rights.<\/h3>\n

(ii)
\nWhy is it detrimental for a nation to have negative balance of payments?<\/h2>\n

Answer:
\nNegative balance of payment indicates that for a country the expenditure on imports is higher than the income from exports. This implies that a country is running down on its stock of foreign exchange and it has to bank upon international loans for funding the payments of imports.<\/h3>\n

(iii)
\nWhat benefits do nations get by forming trading blocs?<\/h2>\n

Answer:
\nCountries with geographical proximity, similarity and complementarities in trading item form trading blocs. These develop as a response to failure of global organisation to speed up intra-regional trade. The main benefits arising from trade blocs are:
\nIncrease intra-regional trade by removing trade tariffs within member nations.
\nHave a greater say in international market as they have more power as trading bloc than as an individual nation.<\/h3>\n

3. Answer the following questions in not more than 150 words:
\n(i)
\nHow are ports helpful for trade? Give a classification of ports on the basis of their location.<\/h2>\n

Answer:
\nThe commercial part of a harbour containing facilities for embarking and disembarking passengers, loading and unloading, and facilities for storage are called ports.
\nPorts are called gateways of international trade. 90-95% of international trade is carried out through them. Major part of the international trade is carried out through waterways and ports are two ends of a waterway, they become extremely important.
\nCargoes and travellers pass from one part of the world to another through these ports.
\nThe ports provide facilities of docking, loading, unloading, storage facilities for cargo.
\nIn order to provide these facilities, the port authorities make arrangements for maintaining navigable channels, arranging tugs and barges, and providing labour and managerial services.
\nOn the basis of location ports can be classified as:
\nInland Ports: These ports are located away from the seacoast. They are linked to the sea through a river or a canal. Such ports are accessible to flat bottom ships or barges. For example, Manchester is linked with a canal; Memphis is located on the river Mississippi; Rhine has several ports like Mannheim and Duisburg; and Kolkata is located on the river Hoogly, a branch of the river Ganga.
\nOut Ports: These are deep-water ports built away from the actual ports. These serve the parent ports by receiving those ships, which are unable to approach them due to their large size. Classic combination, for example, is Athens and its out port Piraeus in Greece.<\/h3>\n

(ii)
\nHow do nations gain from International Trade?<\/h2>\n

Answer:
\nInternational trade is the result of specialisation in production. It benefits the world economy if different countries practise specialisation and division of labour in the production of commodities or provision of services. Each kind of specialisation can give rise to trade. Thus, international trade is based on the principle of comparative advantage, complimentarity and transferability of goods and services and in principle, should be mutually beneficial to the trading partners. Undertaking international trade is mutually beneficial to nations as it leads to regional specialisation.
\nHigher level of production: With availability of foreign technology and production equipments, even developing nations are able to increase their production level.
\nBetter standard of living: With increased production and trade, there is an increase in exports and hence increased per capita income which gives rise to increased standards of living.
\nWorldwide availability of goods and services: Before liberalization of international trade, all goods were not available in all parts of world, which deprived both consumers as well as producers of developing countries. With international trade both consumers and producers benefit from availability of goods.<\/h3>\n

Very Short Answer Type Questions<\/h2>\n

Question 1.
\nDefine trade.<\/h2>\n

Answer:
\nTrade means voluntary exchange of goods and services where for both the parties trade is mutually beneficial.<\/h3>\n

Question 2.
\nWhat are the two levels at which trade can be conducted?<\/h2>\n

Answer:
\nNational and International are two levels at which trade can be conducted.<\/h3>\n

Question 3.
\nWhy do countries trade with each other?<\/h2>\n

Answer:
\nCountries need to trade to obtain commodities that they cannot produce themselves, or they can get elsewhere at lower price.<\/h3>\n

Question 4.
\nWhat is meant by barter system?<\/h2>\n

Answer:
\nBarter system is practiced in primitive society where direct exchange of goods take place.<\/h3>\n

Question 5.
\nWhich two countries were connected by the silk route?<\/h2>\n

Answer:
\nItaly and China were connected by the silk route.<\/h3>\n

Question 6.
\nDefine Slave Trade.<\/h2>\n

Answer:
\n15th .century onwards, the Europeans used to capture African natives and forcefully transport them to the newly discovered Americas for their labour in the plantations as slaves. So, slave trade was a lucrative business.<\/h3>\n

Question 7.
\nWhat is considered as volume of trade?<\/h2>\n

Answer:
\nThe total value of goods and services traded makes up the volume of trade.<\/h3>\n

Question 8.
\nWhat is balance of trade?<\/h2>\n

Answer:
\nBalance of Trade records the value of the goods and services imported as well as exported by the country to the other countries.<\/h3>\n

Question 9.
\nWhat is dumping?<\/h2>\n

Answer:
\nDumping is the practise of selling a commodity in two countries at a price that differs for reasons not related to cost.<\/h3>\n

Question 10.
\nWhen was WTO formed? Where are its headquarters?<\/h2>\n

Answer:
\nIn 1948, General Agreement for Tariffs and Trade was formed. In 1994, it was decided to set up a permanent institution to look after free and fair trade among nations, and thus GATT was transferred to World Trade Organisation from 1-January-1995. Its headquarters are located in Geneva, Switzerland.<\/h3>\n

Question 11 .
\nWhere are the headquarters of following located:
\n(a) ASEAN
\n(b) EU
\n(c) LAIA
\n(d) OPEC
\n(e) CIS<\/h2>\n

Answer:
\n(a) Jakarta
\n(b) Brussels, Belgium
\n(c) Montevideo, Uruguay
\n(d) Vienna, Austria
\n(e) Minsk, Belarus<\/h3>\n

Question 12.
\nWhat is hinterland?<\/h2>\n

Answer:
\nHinterland is the area served by the port \u2013 area of influence.<\/h3>\n

Question 13.
\nKolkata port is located on which river?<\/h2>\n

Answer:
\nKolkata port is located on the river Hoogly.<\/h3>\n

Question 14.
\nName the packet stations across the English Channel?<\/h2>\n

Answer:
\nDover in UK and Calais in France are packet stations across the English channel.<\/h3>\n

Question 15.
\nWhat was the initial form of trade in primitive societies?<\/h2>\n

Answer:
\nThe initial form of trade in primitive societies was the barter system, where direct exchange of goods took place. For example, person producing wheat will exchange it for rice, clothes and other goods he needs from their respective producers.<\/h3>\n

Question 16.
\nHow did the word salary come into use?<\/h2>\n

Answer:
\nThe word \u2018salary\u2019 comes from the Latin word \u2018Salarium\u2019 which means payment by salt. As in those times producing salt from sea water was unknown and could only be made from rock salt which was rare and expensive. That is why it became a mode of payment.<\/h3>\n

Question 17.
\nWhy was Silk Route important in ancient times?<\/h2>\n

Answer:
\nThe Silk Route was connecting Rome to China. It was along the 6,000 km route. The traders transported Chinese silk, Roman wool and precious metals and many other high value commodities from intermediate points in India, Persia and Central Asia.<\/h3>\n

Question 18.
\nWhen and how did slave trade begin?<\/h2>\n

Answer:
\nSlave trade began in the fifteenth century. The Portuguese, Dutch, Spaniards, and British captured African natives and forcefully transported them to the newly discovered Americas for their labour in the plantations. Slave trade was a lucrative business for more than two hundred years. Later on, it was banned.<\/h3>\n

Question 19.
\nWhat are important aspects of international trade?<\/h2>\n

Answer:
\nInternational trade has three important aspects:
\nVolume of trade
\nSectoral composition of trade
\nDirection of trade.<\/h3>\n

Question 20.
\nHow do we evaluate the importance of a port?<\/h2>\n

Answer:
\nThe importance of a port is judged by the size of cargo and the number of ships handled. The quantity of cargo handled by a port is an indicator of the level of development of its hinterland.<\/h3>\n

Question 21.
\nWhat is the main objective of WTO?<\/h2>\n

Answer:
\nThe main objective of WTO is to promote international trade. It is the only international organisation dealing with the global rules of trade among nations. It sets the rules for the global trading system and resolves disputes between its member nations. WTO also covers trade in services, such as telecommunication and banking, and others issues such as intellectual rights.<\/h3>\n

Question 22.
\nWrite a brief note on NAFTA.<\/h2>\n

Answer:
\nNAFTA stands for North American Free Trade Association. It was formed in 1994. Its member countries are USA, Canada and Mexico. It deals in agro products, minerals, chemicals, wood, paper, transport vehicles, optical instruments.<\/h3>\n

Question 23.
\nWrite a brief note on OPEC.<\/h2>\n

Answer:
\nOPEC stands for Organisation of Petroleum Exporting Countries. It was formed in 1949. It deals in crude petroleum. Its aim is to coordinate and unify petroleum policies.<\/h3>\n

Question 24.
\nWrite a brief note on EU.<\/h2>\n

Answer:
\nEU stands for European Union. It was formed in 1992. It has a single market with a single currency. Its headquarters is in Brussels, Belgium. Its member nations are Austria, Belgium, Denmark, France, Finland, Ireland, Italy, Netherlands, Luxemburg, Portugal, Spain and Sweden.<\/h3>\n","protected":false},"excerpt":{"rendered":"

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