1. Globally, NAFTA is the second largest free trade area.
   1. True
   2. False
2. Dutiable status of goods is determined by the classification, coding, and customs value of the article but not its country of origin.
   1. True
   2. False
3. Rules of origin are used to determine all of the following except:
   1. The normal tariff rate on an import
   2. The proper country of origin marketing or labeling of the product
   3. Whether an import is subject to preferential tariff rate or an increased rater
   4. Whether an import is subject to antidumping duties
   5. The rule of origin is used in all of the other circumstances. There is no exception
4. All of the following countries are parties to a Free Trade Area with the US except:
   1. South Korea
   2. The United States is party to a Free Trade Area with each of the country choices. There is no exception.
   3. Costa Rica
   4. Brazil
   5. Jordan
5. All of the following are true about NAFTA except:
   1. All of the choices are true and correct and there is no exception
   2. NAFTA's national treatment principle is different than GATT's
   3. Canada and Mexico are significant purchasers of U.S agricultural products
   4. NAFTA tariff rate apply only to articles that originate in Canada, Mexico or the U.S
6. All of the following are members of the European Union except:
   1. Greece
   2. Slovenia
   3. Turkey
   4. Slovakia
   5. All of the choices are members of the EU.
7. All of the following is true about a customs union except:
   1. Customs unions have a common customs tariff
   2. The European Union is a customs union
   3. All of the other choices are true and there is no exception
   4. NAFTA is a customs union
8. NAFTA applies to all of the following except:
   1. NAFTA applies to all of the choices. There is no exception
   2. Vegetables grown in North America
   3. Minerals mined in North America
   4. Live animals born and raised in North America
9. All of the following are true about the EU except:
   1. EU recommendations and opinions have binding force similar to an EU regulation and directive
   2. An EU directive shall be binding as to the result to be achieved on each member state to which it is addressed but shall leave to the national authorities the choice of form and methods
   3. An EU regulation shall have general application and be binding in its entirety and applicable in all member state.
   4. An EU decision shall be binding in its entirety on the member
10. The hallmark of EU regulation is the free movement of all of the following except:
    1. People
    2. Service
    3. Capital
    4. Goods
    5. There is no exceptions. The EU hallmark is the free movement of goods, services, capital and people.
11. The final arbiter of European Law is:
    1. EU Court of Appeals
    2. None of the other choices are correct
    3. The General Court
    4. The EU Supreme Court
    5. Court of Justice of the European Union
12. What is true about NAFTA?
    1. All of the choices are correct
    2. North American companies may compete for government contracts for the supply of goods and services.
    3. To have originated in North America, orange juice must be made of at least 75 percent North American fruit.
    4. The U.S., Canada or Mexico have agreed to waive rights to invoke emergency safeguards for a domestic industry.
13. A NAFTA certificate of origin certifies that the goods quality as having originated in North America for purposes of preferential tariff treatment under NAFTA.
    1. True
    2. False
14. Foreign trade zones are:
    1. None of the other choices are correct
    2. Also called Customs Unions
    3. Are also called Free Trade Areas
    4. Legally defined sites within a country where imported goods may be brought into without being subjected to tariffs until such time as the goods are released into commerce in the U.S.
15. The EU common market regulates all trade in goods and prohibits the use of customs duties on imports and exports and all equivalent charges between member states.
    1. True
    2. False
16. NAFTA textile provisions are of major significance because of the U.S. position as a major textile importer.
    1. True
    2. False
17. Mexico and the U.S. are each other's largest trading partners.
    1. True
    2. False
18. Patents must be made available for any invention in all fields of technology including pharmaceuticals, whether it is a product or process.
    1. True
    2. False
19. Consumer protection with respect to fair business practices, misleading and comparative advertising, labeling, toy products, electrical appliances, pharmaceuticals and machinery is an important aspect of EU legislation.
    1. True
    2. False
20. IPR's must be filed and registered with the Patent and Copyright office of each country, Canada, U.S. and Mexico.
    1. True
    2. False