CBSE Class 10 Social Science Globalization Worksheet Set 01

Question. Which one of the following organizations laid stress on liberalisation of foreign trade and foreign investment?
(a) International Monetary Fund
(b) International Labour Organisation
(c) World Health Organisation
(d) World Trade Organisation
Answer : D

Question. Which one of the following refers to investment?
(a) The money spent on religious ceremonies
(b) The money spent on social customs
(c) The money spent to buy assets such as land
(d) The money spent on household goods
Answer : C

Question. ………… have been a major force in the globalization process connecting distant regions of the world?
(a) Traders
(b) International companies
(c) Multinational corporations
(d) Businesses houses
Answer : B

Question. Special Economic Zones (SEZs) are being set up to attract
(a) Foreign tourists
(b) Foreign investment
(c) Foreign goods
(d) Foreign policies
Answer : B

Question. Investment means spending on
(a) Factory building
(b) Machines
(c) Equipments
(d) All the above
Answer : D

Question. MNCs set up offices and factories for production in regions where they can get…………………...?
(a) Cheap labour and other resources.
(b) Good market for profits
(c) They can make great sales
(d) More industry
Answer : A

Question. The money that is spent to buy assets such as land, building, machines and other equipment by MNCs is called………?
(a) Investment
(b) Foreign Investment
(c) Domestic investment
(d) International investment
Answer : B

Question. Entry of MNCs in a domestic market may prove harmful for
(a) all large-scale producers
(b) All domestic producers
(c) All substandard domestic producers
(d) All small-scale producers
Answer : D

Question. Which of the following contributes to globalization?
(a) Internal trade
(b) External trade
(c) Large scale trade
(d) Small scale trade
Answer : B

Question. Which of the following industries have been hard hit by foreign competition?
(a) Dairy products
(b) Leather industry
(c) Cloth industry
(d) Vehicle industry
Answer : A

Question. Benefits enjoyed by companies who set up production units in the SEZs are:
(a) They do not have to pay taxes for some years
(b) Reduction in excise duty
(c) Reduced tariffs and barriers
(d) None of the above
Answer : A

Question. Which one of the following is not true regarding the World Trade Organisation?
(a) It allows free trade to all countries without any trade barriers.
(b) Its aim is to liberalize international trade.
(c) It establishes rules regarding international trade.
(d) WTO rules have forced the developing countries to remove trade barriers.
Answer : A

Question. In which other way do the MNCs control production?
(a) By land of local country
(b) Send the latest technology from parent country
(c) Place orders for production with small producers, which then sell these under their own brand name
(d) Send the brand name to the company they buy
Answer : C

Question. MNCs keep in mind certain factors before setting up production”. Identify the incorrect option from the choices given below
(a) Availability of cheap skilled and unskilled labour
(b) Proximity to markets
(c) Presence of a large number of local competitors
(d) Favorable government policies
Answer : C

Question. Which one of the following is a major benefit of joint production between a local company and a Multi-National Company?
(a) MNC can bring latest technology in the production
(b) MNC can control the increase in the price
(c) MNC can buy the local company
(d) MNC can sell the products under their brand name
Answer : A

Fill In The Blank 

True/False

Rewrite the Statement 

Question : Removing barriers or restrictions set by the government is known as Privatisation.
Answer : Removing barriers or restrictions set by the government is known as Liberalisation. 

Question : WTO is one such organization whose aim is to liberalise domestic trade between the countries.
Answer : WTO is one such organisation whose aim is to liberalise international trade. 

Question : The most common route for investments by MNCs in countries around the world is to form partnerships with local companies.
Answer : The most common route for investments by MNCs in countries around the world is to buy up local companies and then to expand production. 

Question : An MNC is a company that owns or controls production in more than two nations.
Answer : An MNC is a company that owns or controls production in more than one nation. 

Question : Special Economic Zones (SEZs) are being set up to attract foreign tourists and foreign policies.
Answer : Special Economic Zones (SEZs) are being set up to attract foreign investment. 

Question : Tax on imports is an example of tax barrier.
Answer : Tax on imports is an example of trade barrier. 

Question : World Trade Organisation allows free trade to all countries without any trade barriers.
Answer : WTO has forced the developing countries to remove trade barriers. 

Question : Entry of MNCs in an international market may prove harmful for all small scale producers.
Answer : Entry of MNCs in a domestic market may prove harmful for all small scale producers. 

Question : Globalisation has led to improvement in living conditions of all males across the world.
Answer : Globalisation has led to improvement in living conditions of all the people across the world. 

Question : Entry of MNCs in a domestic market may prove harmful for all small-scale producers.
Answer : Entry of MNCs in a domestic market may prove harmful for all substandard domestic producers. 

Question : Privatisation of trade and investment has facilitated globalization by removing barriers of trade and investment.
Answer : Liberalisation of trade and investment has facilitated globalization by removing barriers of trade and investment.

Data Based Questions

Question : “Only fair globalisation can give new shape to the world economy”.
Identify the correct statement from the following statements:
(a) Small producers, workers etc. have been benefitted from globalisation.
(b) People with education, skill and wealth have made the best use of new opportunities.
(c) The government cannot play a major part in globalisation.
(d) None of the above
Answer : (b) People with education, skill and wealth have made the best use of new opportunities.

Question : Ford Motors, an American company, came to India in 1995 and spent `1700 crores to set up a large plant near Chennai. By the year 2014, Ford Motors were selling 77000 cars in the Indian markets while around 77000 cars were exported to South Africa.
Identify from the following passage, whether the company is regarded as a MNC or not?
(a) Ford Motors is not a MNC.
(b) Ford Motors is a MNC.
(c) Ford Motors is an International company.
(d) None of the above.
Answer : (b) Ford Motors is a MNC.

Question : ‘There has been rapid development in information and communication technology, e.g., telecommunications, computers, internet etc. They have made easy access to any person or place around the world.’
Identify the concept which is indicated by the above paragraph:
(a) Globalisation
(b) Privatisation
(c) Foreign trade
(b) None of these
Answer : (a) Globalisation

One Word Answer Type Questions 

Question : WTO stands for ?
Answer : World Trade Organisation. 

Question : Which has been the major force in globalisation process in the past thirty years ?
Answer : Multinational Corporations. 

Question : Which countries are location-wise useful for their closeness to the markets in the US and Europe ?
Answer : China, Mexico and Eastern Europe. 

Question : When did the process of liberalisation started in India ?
Answer : 1991. 

Question : Before MNCs, what was the main channel connecting countries ?
Answer : Foreign trade. 

Question : Which country provides the advantage of being a cheap manufacturing location ?
Answer : China. 

Question : Give example of an industry where number of small producers produce goods.
Answer : Garments/Footwear. 

Question : What is the ultimate objective of investing ?
Answer : Profit.

Very Short Answer Type Questions 

Question : What is foreign investment ?
Answer : An investment made by MNCs is called foreign investment. 

Question : What is the most common route for an MNC to start a business in a country ?
Answer : The most common route for MNC investments is to buy up local companies and then to expand production. 

Question : Generally, where do MNCs set up their production?
Answer : MNCs set up production where it is close to the markets; where there is skilled and unskilled labour available at low costs; and where the availability of other factors of production is assured. In addition, MNCs might look for government policies that look after their interests. 

Question : Suppose the Indian government puts a tax on import of a commodity. What would happen?
Answer : To import this commodity, the importer would have to pay higher tax. Because of higher tax, buyers will have to pay a higher price for imported goods. This may lead to reduced demand for the commodity. 

Question : What are the benefits of liberalisation?
Answer : With liberalisation of trade, businesses are allowed to make decisions freely about what they wish to import or export and where they want to produce. 

Question : What does it make India an ideal destination for production?
Answer : India has highly skilled engineers who can understand the technical aspects of production. It also has educated English speaking youth who can provide high quality customer care services. 

Question : What are the reasons for the movement of people from one to another country ?
Answer : People usually move from one country to another in search of better income, better jobs or better education. 

Question : What has been a major force influencing globalisation ?
Answer : Multinational Corporations (MNCs) have been a major force in the globalisation process which connects distant regions of the world.