QUESTION The growing income inequality is a result of the wages for skilled workers being discounted. Indicate whether the statement is true or false. ANSWER FALSE The growing income inequality is a result of the wages for skilled workers being bid up by the labor market and the wages for unskilled workers being discounted. […]
QUESTION Which of the following is an argument put forth by critics of the IMF? A. It increases barriers to the free flow of goods and investment across national borders. B. It provides assistance only to developing nations and completely ignores the developed nations. C. It is not powerful enough to ensure that the nation-states […]
QUESTION In general, as countries get richer, they enact tougher environmental and labor regulations. Indicate whether the statement is true or false. ANSWER TRUE Supporters of free trade and greater globalization argue that tougher environmental regulations and stricter labor standards go hand in hand with economic progress. In general, as countries get richer, they […]
QUESTION According to the UN Charter, one of the four purposes of the UN is to: A. be a center for harmonizing the actions of nations. B. encourage high tariffs on imports of manufactured goods. C. provide enhanced protection for patents. D. promote the establishment of multinational treaties. E. facilitate globalization of production. ANSWER […]
QUESTION Managers in an international business must find ways to work around the limits imposed by specific governmental institutions. Indicate whether the statement is true or false. ANSWER FALSE Managers in an international business must also deal with government restrictions on international trade and investment. They must find ways to work within the limits […]
QUESTION Which of the following is a macro factor underlying the trend toward greater globalization? A. Rise of communism across the globe B. Increase in nationalization of private organizations C. Increase in diversity in consumer tastes and preferences D. Increase in trade regulations across the globe E. Dramatic developments in information processing and other technologies […]
QUESTION Foreign direct investment (FDI) occurs when a firm invests resources in business activities outside its home country. Indicate whether the statement is true or false. ANSWER TRUE Foreign direct investment (FDI) occurs when a firm invests resources in business activities outside its home country.
QUESTION After World War II, the advanced nations of the West committed themselves to increasing barriers to the free flow of goods, services, and capital between nations. Indicate whether the statement is true or false. ANSWER FALSE Having learned from past experience, the advanced industrial nations of the West committed themselves after World War […]
QUESTION The globalization of markets and production and the resulting growth of world trade, foreign direct investment, and imports all imply that firms are finding it easier to protect themselves from attack by foreign competitors Indicate whether the statement is true or false. ANSWER FALSE The globalization of markets and production and the resulting […]
QUESTION The lowering of trade and investment barriers allows firms to base production at the optimal location for that activity. Indicate whether the statement is true or false. ANSWER TRUE The lowering of trade and investment barriers allows firms to base production at the optimal location for that activity.
