Exam 1: The International Economy and Globalization

Around the world,countries differ regarding their

Compared to the 1800s,the "openness ratio" of the U.S.economy had declined by the 2000s.

What are the essential arguments in favor of free trade?

A closed economy is one in which:

Foreign ownership of U.S.financial assets

The advent of foreign competition forced Kodak Inc.to go into bankruptcy and to cease operating as a producer of cameras and film.

For a nation to maximize its productivity in a global economy:

____ is the ability of a firm/industry,under free and fair market conditions,to design,produce,and market goods and services that are better and/or cheaper than those of other firms/industries.

International trade is based on the idea that:

What is the most important factor which contributes to competitiveness?

The "openness ratio" of the U.S.economy is currently about 15 percent.

Following World War II,The U.S.:

Economists have generally found that economic growth rates have a close relation to:

Opening the economy to international trade tends to lessen inflationary pressures at home.

International trade in goods and services is sometimes used as a substitute for all of the following except:

The term "economic interdependence" would imply that "when the United States sneezes,other countries catch a cold."

The decline of Kodak Inc.in the camera and film business is not explained by

Human rights activists contend that this organization supports governments that permit sweatshops:

Higher costs of transportation and communication,and higher trade barriers,have contributed to increased globalization in recent decades.

The United States was less open to international trade between: