1) A charterparty is a contract for the hire of an entire ship for a particular voyage or a
set period of time.
2) In civil law countries, a vessel is regarded as a juridical person separate and apart
from its owner.
3) Depository receipts are identical to the securities themselves.
4) If a seller cures defects in his nonconforming goods, the buyer loses his or her right
to claim any damages under the CISG.
5) Bills certifying that the goods have been properly loaded on board are known as
claused bills of lading.
6) A group boycott is an example of a per se violation.
7) An agreement between a buyer and a seller is called a cartel.
8) Private persons cannot stand as plaintiffs in the International Court of Justice.
9) The provisions of GATT that prohibit a state from taking action contrary to the
General Agreement are directly effective.
10) Lay days are the number of days that a charterer may keep a chartered ship idle for
the loading of goods.
11) In the United States, the H-1B visas are allocated to highly skilled professionals,
engineers, and software experts to work with U.S. companies.
12) A patent is an incorporeal statutory right that gives an inventor, for a limited period,
the exclusive right to use or sell a patented product or to use a patented method or
process.
13) The patent granted for the invention of a new and useful process, machine, article of
manufacture, or composition of matter is called a petty patent.
14) Immunity is available when it is waived by the state.
15) During 1945, the IMFs par value system of currency exchange allowed members to
define the value of their currency by any criteria except gold.
16) If territory from one state shifts to another, the law of state succession applies the
Merger Rule.
17) The value of official money is nominally constant.
18) A state party includes the state itself, its agencies, and its subdivisions.
19) The operation of GATS is overseen by the ________ made up of representatives of
all WTO member states.
A. World Bank
B. International Monetary Fund
C. Trade Negotiations Committee
D. Council for Trade in Services
20) Which of the following is true of a bill of exchange?
A. It is not considered a negotiable instrument
B. It is also referred to as a draft
C. It is a two-party instrument
D. It contains a conditional order from the drawer that directs the drawee to pay a
definite sum of money to a payee on demand or at a specified future date
21) Which of the following international treaty on global warming was adopted with the
Rio Declaration?
A. the Western Climate Initiative
B. the Kyoto Protocol
C. the United Nations Convention on the Law of the Sea
D. the United Nations Framework Convention on Climate Change
22) Which of the following is a remedy available to both buyers and sellers?
A. missing specifications
B. avoidance of an installment contract
C. specific performance
D. reduction in price
23) Which of the following definitions describes a drawee to a bill of exchange?
A. the issuer of a bill of exchange
B. a person who signs a bill of exchange or note to lend his or her credit to another
party
C. the person ordered to pay a bill of exchange
D. a person who receives an endorsed bill of exchange or note from an endorser
24) Once goods are legally imported, they must be treated the same way as domestic
goods. This is called ________.
A. dumping
B. direct effect
C. transparency
D. national treatment
25) Which of the following components of the GATS agreement deal(s) with issues
unique to particular economic sectors, such as financial services and
telecommunications?
A. the Framework Agreement
B. the sectoral annexes
C. the Schedules of Specific Commitments
D. the appendices
26) Which of the following is true of the World Trade Organization (WTO)?
A. Its dispute settlement process is governed by an agreement known as the General
Agreement on Tariffs and Trade
B. It is the trade-dispute settlement body of the United Nations
C. Its functions are governed by the Rome Statute
D. It is responsible for implementing and enforcing the rules of international trade
between nations
27) Which of the following arguments has to be proven to hold a state liable for
injuries?
A. estoppel
B. causation
C. comity
D. privity
28) Which of the following is a characteristic of stabilization clauses?
A. They can be changed by the mutual agreement of the parties
B. They can prevent a state from nationalizing a foreign investment
C. They can prevent a state from expropriating a foreign investment
D. They guarantee equality of treatment with regard to ownership rights, taxation, and,
social matters
29) The ________ came into effect on January 1, 1995, as one of the three main
multilateral annexes to the Agreement Establishing the World Trade Organization.
A. General Agreement on Trade in Services (GATS)
B. Central European Free Trade Agreement
C. Trade and Investment Framework Agreement (TIFA)
D. Alpine Convention
30) ________ are situations that excuse a WTO member state from complying with its
GATT obligations in order for the state to protect certain essential public policy
objectives.
A. Harmonized Systems
B. General exceptions
C. Safeguards
D. Security exceptions
31) ________ promise foreign investors that the host government will not change its
tax, foreign exchange, or other legal rgime for a certain period of time, or that changes
subsequent to the establishment of an enterprise will not affect that enterprise.
A. Nondiscrimination guarantees
B. Repatriation guarantees
C. Stabilization clauses
D. Appraisal rights
32) According to the doctrine of ________, a municipal court will decline to hear a
dispute when it can be better or more conveniently settled in a foreign council.
A. negligence per se
B. privity of contract
C. res ipsa loquitur
D. forum non conveniens
33) The ________ doctrine states that the act of a government within the boundaries of
its own territory is not subject to judicial scrutiny in a foreign municipal court.
A. vested rights
B. most significant relationship
C. act of state
D. governmental interest
34) Which of the following would be an example of a countertrade?
A. a country exchanging its agricultural exports for oil from another country
B. a country selling its electronic products through a retail chain in another country
C. a country pledging some of its gold deposits as security for obtaining a loan from a
financial institution
D. a country buying food reserves from another country
35) The ________ was enacted in 1914 to expand the enforcement provisions of the
Sherman Antitrust Act. It defines exclusive dealing and tying clauses, mergers that
result in monopolies, and interlocking directorates as being unfair business practices.
A. Federal Trade Commission Act
B. Sherman Act
C. Robinson-Patman Act
D. Clayton Act
36) ________ are mandatory laws and provisions that specify the characteristics of
products; the processes and production methods for creating products; and the
terminology, symbols, packaging, marking, or labeling requirements for products,
processes, or production methods.
A. Stabilization clauses
B. Technical regulations
C. Rules of origin
D. Safeguards
37) ________ jurisdiction is the power of a court to hear a matter that involves a
dispute between two or more parties.
A. Contentious
B. Adjudicative
C. Optional clause
D. Advisory
38) Which of the following terms refers to a GATS requirement that a WTO member
state accord to services and service suppliers of other member states treatment no less
favorable than that listed in its GATS Schedule of Specific Commitments?
A. nolo contendere rule
B. ultra vires rule
C. market access
D. national treatment
39) A(n) ________ is a subsidy that may be challenged as trade distorting if it injures
the domestic industry of another WTO member state, nullifies or impairs the benefits
due to another member state, or causes or threatens to cause serious prejudice to the
interests of another member state.
A. nonactionable subsidy
B. consumption subsidy
C. actionable subsidy
D. prohibited subsidy
40) Which of the following terms refers to a GATS requirement that a WTO member
state accord to services and service suppliers of other member states treatment no less
favorable than what the member grants its own like services and service suppliers?
A. nolo contendere rule
B. market access
C. national treatment
D. foreseeability standard
41) A ________ is an instrument issued by a bank or another person at the request of an
account party that obliges the issuer to pay to a beneficiary a sum of money within a
certain period of time upon the beneficiarys presentation of documents specified by the
account party.
A. bill of lading
B. cashiers check
C. certificate of deposit
D. letter of credit
42) A(n) ________ is a subsidy that is presumed to be trade distorting because it
requires export performance or is contingent upon the use of domestic instead of
imported goods.
A. nonactionable subsidy
B. consumption subsidy
C. actionable subsidy
D. prohibited subsidy
43) Which of the following best describes a self-executing treaty?
A. It is a treaty that requires state parties to enact enabling legislation before it becomes
effective domestically
B. It is a treaty containing a term that says that it is directly effective within the
signatory states upon ratification
C. It is a treaty adopted according to the constitutional provisions of the ratifying state
D. It is a treaty or international agreement entered into by a states executive without
following the states constitutionally required ratification procedure
44) Which of the following is a type of regulation against hiring foreign workers?
A. most-preferred-nation treatment
B. ultra vires rule
C. percentile legislation
D. nolo contendere
45) The ________ is a GATS requirement that its member states accord immediately
and unconditionally to services and service suppliers of other members treatment that is
no less beneficial than that it accords to like services and service suppliers of any other
state.
A. foreseeability standard
B. ultra vires rule
C. transparency provision
D. most-favored-nation treatment
46) Which of the following would constitute as an example of negligence per se?
A. Mellissa not checking if the new pair of jeans she bought was already defective
B. Stella receiving a consignment of books that were damaged during shipment
C. Matt buying a refrigerator that did not meet statutory safety requirements
D. Shelton hurting himself with a drill because of a faulty lever
47) Briefly describe the most significant relationship doctrine.
48) Distinguish between a natural person and juridical person.
49) Describe the significance of the transnational labor organizations in the EU.
50) Differentiate between closed sectors and restricted sectors.
51) How are multinational enterprises regulated by the home state?
52) Differentiate between general exceptions and security exceptions.
53) Explain the concept of direct effect in the context of GATT.
54) What are the two types of intellectual properties?
55) Describe a joint venture as a business model.
56) How is trade in service defined under the GATS?