15 MCQ on Common Agricultural Policy with answers
15 MCQ on Common Agricultural Policy with answers
1. What does CAP stand for?
a) Common Agricultural Procedure
b) Centralized Agricultural Policy
c) Common Agricultural Policy
d) Cooperative Agricultural Program
Answer: c) Common Agricultural Policy
2. When was the Common Agricultural Policy (CAP) established?
a) 1957
b) 1973
c) 1992
d) 2000
Answer: a) 1957
3. Which organization governs the Common Agricultural Policy?
a) World Trade Organization (WTO)
b) European Union (EU)
c) United Nations (UN)
d) International Monetary Fund (IMF)
Answer: b) European Union (EU)
4. What is the primary objective of the Common Agricultural Policy?
a) To increase agricultural prices
b) To ensure food security for EU citizens
c) To promote sustainable farming practices
d) To discourage agricultural exports
Answer: b) To ensure food security for EU citizens
5. Which of the following is NOT a component of the Common Agricultural Policy?
a) Price Support
b) Market Intervention
c) Industrial Subsidies
d) Income Support
Answer: c) Industrial Subsidies
6. CAP subsidies are often criticized for:
a) Encouraging sustainable farming practices
b) Distorting global agricultural markets
c) Promoting fair trade agreements
d) Supporting small-scale farmers effectively
Answer: b) Distorting global agricultural markets
7. Which treaty initially established the Common Agricultural Policy?
a) Treaty of Paris
b) Treaty of Rome
c) Treaty of Lisbon
d) Treaty of Versailles
Answer: b) Treaty of Rome
8. Which two pillars form the foundation of the Common Agricultural Policy?
a) Market Access and Export Subsidies
b) Agricultural Subsidies and Price Controls
c) Income Support and Rural Development
d) Trade Agreements and Tariff Reductions
Answer: c) Income Support and Rural Development
9. What is the purpose of the CAP's Rural Development policy?
a) To provide financial assistance to urban areas
b) To promote diversification and innovation in rural economies
c) To regulate agricultural exports
d) To enforce environmental regulations in farming
Answer: b) To promote diversification and innovation in rural economies
10. CAP subsidies are distributed based on:
a) The size of agricultural holdings
b) The number of agricultural exports
c) The population density of rural areas
d) The GDP of member states
Answer: a) The size of agricultural holdings
11. Which major reform of the CAP took place in 2013?
a) Introduction of export quotas
b) Removal of all subsidies
c) Implementation of the Single Payment Scheme
d) Exclusion of small-scale farmers from support programs
Answer: c) Implementation of the Single Payment Scheme
12. Which EU member country is the largest recipient of CAP funds?
a) France
b) Germany
c) Italy
d) Spain
Answer: a) France
13. What percentage of the EU budget is allocated to the Common Agricultural Policy?
a) Around 20%
b) Around 30%
c) Around 40%
d) Around 50%
Answer: c) Around 40%
14. How does the Common Agricultural Policy affect non-EU countries?
a) It promotes fair trade agreements globally
b) It often leads to trade disputes with non-EU countries
c) It has no impact on non-EU countries
d) It encourages technological exchange with non-EU countries
Answer: b) It often leads to trade disputes with non-EU countries
15. Which of the following is NOT a challenge faced by the Common Agricultural Policy?
a) Climate change adaptation
b) Ensuring fair income distribution among farmers
c) Reducing agricultural productivity
d) Maintaining environmental sustainability
Answer: c) Reducing agricultural productivity
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