1 Mark Questions
1.The European Union was formed by the treaty.
Answer: The European Union (EU) was formed by the Treaty of Maastricht .
Currently, ASEAN countries have members
Answer: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam.
3. What is the name of the currency of the European Union?
a) Dollar
b) Pound
c) Rouble
D Euro
Answer D Euro
4. Put the mark of right (✔) or wrong (x) in the given statement.
Britain is a member of BRICS
Answer: The BRICS group consists of Brazil, Russia, India, China, and South Africa.
5. Write the full form of SAFTA.
Answer: South Asian Free Trade Area
6.In which years China became a member of WTO? a) 1972 b) 1982 c) 1998 d) 2001
Answer: d) 2001
7.In which year China announced the open door policy?
1972
1974
1976
1978
Answer d) 1978
2 Marks Questions
1. What does the New Centres of Power means ?
Answer:At the beginning of the 21st century, the international community has witnessed the emergence of new centers of power, namely China, India, Brazil, Turkey, and Iran. It is natural to associate their rise with globalization and the entrance of new countries into stretches of rapid economic growth.
2.What was the Marshall Plan?
Answer:Officially known as the European Recovery Program (ERP), the Marshall Plan was intended to rebuild the economies and spirits of western Europe, primarily. Marshall was convinced the key to restoration of political stability lay in the revitalization of national economies.
3.What are the factors to make Russia new Centres of power?
Answer:10.4.2 Russia
Russia is rich in natural resources, and hosts about 30% of all the world’s natural resources with an estimated value of about 75 trillion US dollars. Russia also owns second largest armed forces in the world and largest nuclear weapons.
4.Explain India’s improving relationship with China. (Delhi 2011)
Answer: After the end of the Cold War, significant changes have been seen in the relationship between India and China. Rajiv Gandhi’s visit in December 1988 then both governments have taken measures to contain conflict and maintain ‘peace and tranquillity’ on the border.
5.Mention any two steps taken by China to improve its economy. (Delhi 2010)
Answer: Two steps taken by China to improve its economy are:
1.Deng Xiaoping in 1978, announced ‘Open Door Policy’. This aimed at the generation of high productivity by investments of capital and technology from abroad.
2.Privatisation of agriculture and privatisation of industry was done.
6.What led to the formation of the European Union? (Delhi 2009)
Answer: European Union was formed after the end of the Cold War. After the disintegration of USSR, the European Union was formed to consolidate the process of reviving the shattered economies of European countries and to get massive US financial help under the Marshall Plan.
4 Marks Questions
1.In which four ways did the new economic policy of China benefit its economy? (Delhi 2016)
Answer: The four ways by which the new economic policy of China benefitted its economy are :
- Privatisation of agriculture led to a remarkable rise in agriculture production and rural incomes.
- The rural industry too grew due to high personal savings in the rural economy.
- The SEZs led to a phenomenal rise in foreign trade. It made China the most important destination for foreign direct investment (FDI) anywhere in the world.
- It helped in strengthening its relations with WTO in 2001 and plans to deepen its integration into the world economy.
2.Mention any four significant changes in Indo-China relations that have taken place after the Cold War. (Delhi 2016)
Answer: End of the Cold War marked various changes in the relationship between India and China. Four significant changes in Indo-China relations took place after the Cold war was:
Both India and China consider themselves as rising powers in international politics. After the visit of Rajiv Gandhi in 1988, both governments tried to maintain ‘peace and silence’ on the border.
Agreements regarding cultural exchanges and cooperation were signed. Four border posts were also opened.
Trade between India and China grew at 30 per cent per year since 1999.
An increase in bilateral trade from $338 million in 1992 to more than $ 18 billion in 2006 was seen. India and China are following the same policies in international economic institutions like the World Trade Organisation.
Leaders from both countries frequently visit each other’s nation and this way they get familiar with each other. Through an increase in transportation and communication links and working on common economic interests development of sound economic relationship has been taking place.
3.Assess the role of ASEAN as an economic association. (All India 2016)
OR
Why does ASEAN still remain principally an economic community? (Delhi 2015)
Answer:
ASEAN was established primarily for accelerating the economic growth and through that ‘social progress and cultural development,’ It still remains principally an economic community. Though the ASEAN region as a whole is a much smaller economy compared to the US, the EU, and Japan, however, its economy is growing much faster than all these. This accounts for the growth in its influence both in the region and beyond.
The objectives of the ASEAN are to create a common market and production base within ASEAN states. ASEAN as an economic community also committed to improving the existing ASEAN. Dispute Settlement Mechanism to resolve economic disputes. ASEAN has focussed in creating a Free Trade Area (FTA) for investment, labour, and services. The US and China have already negotiated FTA with ASEAN.
The current economic strength of ASEAN particularly its economic relevance as a trading and investment partner to the growing Asian economies such as India and China makes this an attractive proposition. India signed FTA with two ASEAN members, Singapore and Thailand, and trying to sign an FTA with ASEAN itself.
ASEAN’s strength, however, lies in its policies of interaction and consultation with member states, with dialogue partners and with non-aligned organisations.
What is meant by the ASEAN way? Mention any two of its objectives. (Delhi 2014)
Answer:
4.ASEAN way is a kind of interaction which is informal, unofficial, non-confrontationist and cooperative.
The two objectives of ASEAN are :
1.To speed up the economic growth of member countries and through that growth, to bring social and cultural development.
2.Promotion of regional peace and stability based on laws and principles of the UN Charter.
5.Explain any two causes which led to the formation of ASEAN. (All India 2013)
Answer:
The causes which led to the formation of ASEAN were :
1.The South East Asian Nations suffered the economic and political consequences of repeated colonialisms before and during the Second World War.
2.The end of the Second World War confronted problems of nation-building, the ravages of poverty and economic backwardness and the pressure to align with one great power or another during the Cold War.
3.Hence, South East Asian countries established the Association for South East Asian Nations in order to solve the issues of South East Asian Countries.
6.What were the objectives behind the formation of the ASEAN in 1967? (All India 2011)
Answer: Association of South East Asian (ASEAN) Nations was created in 1967 with the following objectives:
1.Primary objective It was to increase economic growth, which will result in social progress and cultural development of the ASEAN. Thus, this objective was related to economic, cultural and social perspectives.
2.Secondary objective Under United Nation Charter, principles and rules of law have been stated. So, the secondary objective of ASEAN nations was to promote stability and regional peace based upon those rules and principles.
7.Explain the role of emerging alternative centres of power in transforming the different countries into prosperous economies. Delhi 2010
Answer:
The end of the bipolar structure in world politics in the early 1990s interpreted that all alternative centres of economic and political power could limit the dominance by the US.
Two forces were established to compete with this factor. They were the European Union (EU) in Europe and the Association of South East Asian Nations (ASEAN) in Asia.
Both EU and ASEAN have developed alternative institutions and agreements in international law, this converted the countries into prosperous economies. Also, the economic emergence of China has made a substantial impact on world politics.
6 Marks Questions
Question 1. Evaluate any three major factors responsible for making the European Union a political force from economic forces. (Delhi 2016)
Answer:
The European Union has gradually evolved from an economic union into a political union. It has become more a nation-state. Though it does not have Constitution, it has its own flag, anthem, founding date and currency. It has a common foreign and security policy in its dealings with other states.
The areas of cooperation have been expanded by the European Union through admitting new members from the former Soviet bloc. This shifting of power of the EU from economic to political force has not been easy as people were not very enthusiastic. There are also reservations about including some new countries within the European Union.
A major factor behind this is
- Its aim was to make Europe politically, economically and culturally strong enough to face powers like the USA, Russia.
- In order to send grievances of European countries to the UN, two countries i.e. Great Britain and France are members of the Security Council of UNO.
- Due to the presence of some non-permanent members of the UN Security Council, the EU will be able to influence US policies.
Question 2.
Analyse any two factors responsible for the European Union to be a highly influential regional organisation. (All India 2015)
OR
Evaluate the role of the European Union as a supranational organisation. (All India 2011, 2009)
OR
How has the European Union risen to be a super-national organisation? What are its limitations? (All India 2008)
Answer: European Union is considered highly influential.
For types of influences
Economic influence EU with more than $12 trillion (2005) is the largest economy in the world surpassing even that of the USA. Euro can cause a danger to the US hegemony of the dollar. The share of the EU is three times greater than that of the US and this makes the EU more powerful in trade disputes with the US and China. Its economy is very impressive and thus, it becomes influential to its neighbours and in Asia and Africa. It plays a significant role in the World Trade Organisation.
- Military influence EU stands second in combined armed forces and on total spending on defence. Its members France and Britain have over 550 nuclear warheads and arsenals. EU is the second largest source of space and communication technology. Thus, this super national association has been able to intercede in economic, political and social areas. But in certain cases, member states have their own foreign relations and defence policies.
- For example, in the Iraqi invasion, where Britain and some other members of the EU joined a US-led coalition of willing, whereas France and Germany opposed the same.
- Limitations of the European Union European Union as a supranational association has been able to intercede in economic, political and social areas. But there are certain limitations :
- Member states of EU have their own foreign relation and defence policies, that often odds with each other.
- Presence of deep-seated ‘Euro-skepticism’ in some parts of Europe about the EU’s integrationist agenda.
Question 3.
Explain the factors responsible for the rise of the Chinese economy. (Delhi 2009)
Answer: China is the third major alternative centre of power. It is the fastest growing economy. China at one time was based on the Soviet model and at that time, it broke all the links with the capitalist world. Following are the factors responsible for the rising of the Chinese economy :
- Use of Soviet Model China accepted the Soviet model and relied on its resources. China decided to substitute imports by domestic goods and create state-owned heavy industries from capital produced by agriculture.
- Development of Industrial Economy China used all its resources to develop an industrial economy. All citizens were provided with education and health programmes.
- Relationship with USA China established a relationship with the USA in 1972.
- Modernisation Modernisations in the field of agriculture, industry, military, science and technology were proposed.
- Major Policies Announced Open Door Policy was announced by Deng Xiaoping in 1978, which aimed at a generation of high productivity by investments in capital and technology from abroad.
- The era of Privatisation Privatisation of agriculture in 1982 and privatisation of industry in 1998 was done.
- Establishment of SEZ’s Special Economic Zones was set up. The state had a centralised role in setting up of China’s economy.
Question 4. Explain the vision of the ASEAN for 2020. (Delhi 2009)
Answer:
ASEAN was established in 1967 with the objective to accelerate economic growth and through that ‘social progress and cultural development’.
ASEAN is rapidly growing into a very important regional organisation. It has a certain vision for 2020. The features of the ASEAN vision 2020 are as follows :
- Its vision 2020 has defined as an outward-looking role for ASEAN in the international community.
- This builds on the existing ASEAN policy to encourage negotiations over conflicts in the region. Thus, ASEAN has mediated the end of the Cambodian conflict, the East Timor Crisis and meets annually to discuss East Asian cooperation.
- ASEAN’s strength, lies in its policies of interaction and consultation with member states, with dialogue partners and with other non-regional organisations.
- It is the only regional association in Asia that provides a political forum where Asian countries and the major powers can discuss political and security concerns.
5.Analyse the basis of the projection of China to overtake the US as the world’s largest economy by 2040. (Delhi 2008)
Answer: China is viewed to dominate the US by the year 2040. The basis of the projection are :
1.China is considered as the driver of East Asian growth because of the economic integration into regions.
2.China is considered to be very powerful and factors such as population, land mass, resources, regional location and political influence add to its strength.
3.China announced ‘Open Door Policy’ in 1978 which aimed at a generation of high productivity by investments in capital and technology from abroad.
4.In the economic sector various steps were taken to encourage investment by Western entrepreneurs for modernisation of:
- Industry
- Science and technology
- Agriculture
- Military
- In 1980, China became a member of the World Bank and International Monetary Fund.
- Privatisation of agriculture and industry helped in growing economy rapidly.
- Foreign trade grew with the creation of SEZs and new trading plans This resulted in high foreign exchange reserves and this way China became most significant for FDI. The above points show China’s ability to overtake the US as the world’s largest economy by 2040.
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