QUESTION Which of the following establishes a uniform set of rules governing certain aspects of the making and performance of everyday commercial contracts between sellers and buyers who have their places of business in different nations? A. Contracts for the International Sale of Goods B. Bill of Exchange C. United Nations Charter D. International Forwarding […]
QUESTION After the collapse of communism in Dehran, successful business owners often had to pay “protection money” to the mafia or face violent retribution. In the context of property rights, the behavior of the mafia is an example of: A. active violation. B. public action. C. private action. D. boundary spanning. E. industrial espionage. […]
QUESTION In the context of property rights, which of the following best exemplifies private action? A. Levying excessive taxes B. Requiring expensive licenses or state permits from private property holders C. Taking assets into state ownership without compensating the owners D. Government bureaucrats demanding bribes from businesses in return for the rights to operate in […]
QUESTION Which of the following best exemplifies public action? A. The mafia in Cedia Republic demands “protection money” from successful domestic business owners. B. Cedian proprietors in the hospitality industry often complain about protection rackets by criminal groups. C. Government bureaucrats demand bribes from international businesses in return for the rights to operate in Cedia […]
QUESTION Which of the following terms best defines the relationship between the level of corruption and economic growth rate in a country? A. Directly proportional B. Inversely proportional C. Independent D. Positive correlation E. Zero correlation ANSWER B Economic evidence suggests that high levels of corruption significantly reduce the foreign direct investment, level of […]
QUESTION In the United States, the Foreign Corrupt Practices Act was passed during the 1970s following revelations that: A. U.S. companies had bribed government officials in foreign countries in an attempt to win lucrative contracts. B. U.S. companies were involved in bribing U.S. government officials in cases related to major corporate and accounting scandals. C. […]
QUESTION The Republic of Marwa has decided to open its economy to globalization. Which of the following will facilitate this decision of Marwa? A. A strong commitment to communism B. A strong presence of private action in the nation C. Adopting the Contracts for the International Sale of Goods (CIGS) D. Creating a national environment […]
QUESTION Which of the following best exemplifies facilitating or expediting payments in business? A. Making payments to government officials not to cancel the business license after violating local laws B. Paying a lump sum amount in order to win a government tender for road construction in a foreign country C. Making unsolicited payments to the […]
QUESTION Which of the following does the U.S. law and OECD convention allow as an exception? A. Bribing a foreign government official to obtain a contract B. Failure to keep records that would reveal if a violation of the Foreign Corrupt Practices Act has occurred C. Grease payments or speed money D. Private action E. […]
QUESTION As per the U.S. law and OECD convention, which of the following is most likely to be considered as a grease payment? A. Gold Fire Inc. paid a fine of $2500 for violating the labor laws in a foreign country. B. Gold Fire Inc. made a small payment of $20 to speed up some […]
