QUESTION A concern voiced by critics of globalization is that today’s increasingly interdependent global economy shifts economic power toward: A. supranational organizations such as the World Trade Organization. B. the communist states of eastern Europe and central Asia. C. the medium-size and small U.S. multinationals. D. the national governments of the countries participating in globalization. […]
QUESTION In the past two decades, the majority of Latin American countries have: A. experienced a decline in the health of their economies. B. sold state-owned enterprises to private investors. C. been characterized by low growth, high debt, and hyperinflation. D. restricted investment by foreign firms. E. discouraged both democracy and free market reforms. […]
QUESTION Universal Lingo, a U.K.-based language translation company employing just 65 people worldwide, has an annual turnover of $1.5 million. In this context, Universal Lingo is most likely to be classified as a(n): A. large domestic firm. B. mini-multinational firm. C. greenfield firm. D. foreign firm. E. multinational giant. ANSWER B A trend in […]
QUESTION Which of the following statements reflects the nature of the global economy of the twenty-first century? A. National economies are becoming less integrated into a single and interdependent economic system. B. The number of nations joining the ranks of the developed world has reduced. C. Countries have extensively adopted liberal economic policies. D. There […]
QUESTION Which of the following statements is a general implication of globalization? A. Globalization is inevitable. B. From a purely economic perspective, globalization is all good. C. Globalization has no negative impacts on the economies of the developed world. D. Globalization has reduced the risks associated with global financial contagion. E. As a result of […]
QUESTION An argument in support of the falling barriers to international trade and investment is that the falling barriers: A. prohibit countries from specializing in the production of goods and services. B. drive the global economy toward greater prosperity. C. reduce the need to export jobs overseas. D. increase the bargaining power of business firms […]
QUESTION The advent of containerization has: A. made the economies of the world’s nation-states less intertwined. B. made moving goods from one mode of transport to another extremely labor-intensive. C. significantly lowered the costs of shipping goods over long distances. D. slowed down the globalization of markets and production. E. increased costs of coordinating and […]
QUESTION Which of the following countries has seen a relative decline in its share of world output between 1960 and 2012? A. United States B. Thailand C. Japan D. China E. South Korea ANSWER A In the early 1960s, the United States was still by far the world’s dominant industrial power. In 1960, the […]
QUESTION Which of the following has seen a positive change from 1960 to 2012? A. Growth of the centrally planned economies of the communist world B. U.S. position in the world economy and world trade picture C. The share of world output enjoyed by rich industrialized countries such as Great Britain, Germany, and Japan D. […]
QUESTION Who, along with representatives from the European Union and the European Central Bank, represent the 19 largest economies in the world on the G20? A. Finance ministers and central bank governors B. Presidents and defense ministers C. Prime ministers and army chiefs D. International trade ministers E. Ministers of foreign affairs ANSWER A […]
