ASEAN Characteristics and Development 3

Question 1

Which ASEAN initiative, launched in 1992, created a preferential tariff area to boost intra-regional trade?

Accepted Answer

ASEAN Free Trade Area (AFTA)

Answer

AFTA, launched in 1992, used the Common Effective Preferential Tariff (CEPT) scheme to reduce tariffs and increase intra-ASEAN trade.

Question 2

What percentage of ASEAN's trade is conducted with countries outside the bloc, reflecting its external trade orientation?

Accepted Answer

Over 70%

Answer

Over 70% of ASEAN trade is with external partners, highlighting that intra-ASEAN trade remains a smaller share of total trade.

Question 3

Which development gap framework does ASEAN use to address economic disparities between older and newer members?

Accepted Answer

Initiative for ASEAN Integration (IAI)

Answer

The Initiative for ASEAN Integration (IAI) was launched in 2000 to help the CLMV countries (Cambodia, Laos, Myanmar, Vietnam) narrow the development gap.

Question 4

ASEAN's demographic characteristic of a young median age is considered an advantage because it provides what?

Accepted Answer

A large labor force and growing consumer market

Answer

A young median age (~30 years) gives ASEAN a demographic dividend through a large, productive workforce and an expanding consumer base.

Question 5

Which ASEAN country has the largest economy by GDP and serves as an anchor of the bloc's economic weight?

Accepted Answer

Indonesia

Answer

Indonesia has ASEAN's largest economy, accounting for roughly 35–40% of the bloc's combined GDP.

ASEAN - Association of Southeast Asian Nations Practice Test

ASEAN - Association of Southeast Asian Nations Practice Test

ASEAN Characteristics and Development 3