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ZFO International Economics

M.A. DEGREE EXAMINATION, APRIL 1999
(Held in October 1999)
Second Year
Branch III (c) - Economics
INTERNATIONAL ECONOMICS

(For those who joined between July 1995 and 1997)

Time Three hours
Maximum: 100 marks

Answer any FIVE questions.
All questions carry equal marks.

1. Explain the comparative cost theory. Point out its defects.

2. What is Free Trade? What is the policy of protection? Which one is suitable for the developing country?

3. What is meant by Exchange control? Explain the objectives of it.

4. Explain the concepts over valuation and under valuation of a currency. Which one is goad for developing country? Why?

5. Balance of payment of a country is always in balance - Discuss.

6. Describe the various methods used for correcting the adverse balance of payment of a country.

7. Write short notes:
(a) Invisibles and visibles.
(b) Euro Dollar.

8. Explain the meaning of Quota. Describe the objectives of Quotas.

9. Explain in detail the objectives and functions of the International Monetary Fund.

10. What is Euro Market? What are its effects on international financial system? What are its short comings?