Question 1

_______ refers to the ability of one country to produce a good or service more efficiently than another.

Accepted Answer

The answer of _______ refers to the ability of one...

Question 2

The key assumptions for the H-O theory to work are: 1)perfect competition in the marketplace; and (2)_____.

Accepted Answer

A)  perfect immobility of factors of production among countries 
B)  superior allocation of production of goods and services 
C)  very small labor force 
D)  the existence of a trade surplus 
E)  the acceleration of a trade deficit 
A)  perfect immobility of factors of production among countries 
B)  superior allocation of production of goods and services 
C)  very small labor force 
D)  the existence of a trade surplus 
E)  the acceleration of a trade deficit

Question 3

Which of the following was NOT one of the top exporting nations in 2010?

Accepted Answer

A)  The United States 
B)  South Korea 
C)  Italy 
D)  Australia 
E)  Belgium 
A)  The United States 
B)  South Korea 
C)  Italy 
D)  Australia 
E)  Belgium

Question 4

It is estimated that for every billion dollars worth of exports from the United States _____ domestic jobs are created.

Accepted Answer

A)  5,000 
B)  20,000 
C)  100,000 
D)  500,000 
E)  1,000,000 
A)  5,000 
B)  20,000 
C)  100,000 
D)  500,000 
E)  1,000,000

Question 5

Scenario - Power Trip Unlimited, LLC
Is it hurricane season? Is there a tsunami warning? Did an earthquake take place somewhere in the world? While these are not pleasant questions to ask, the Miami, Florida-based business Power Trip Unlimited needs to be ready to quickly respond to such events. This unique company offers a vast line of emergency generators and supplies to help individuals caught in the devastation these types of natural occurrences can create. Staffed by experts in the generator field, Power Tripp Unlimited has assisted numerous people begin the recovery process in the aftermath of a calamity. In the past year alone, sales for this company have surpassed every goal that was set. This financial boom occurred while the company conducted sales only in the U.S. market.
Power Trip's management team now realizes that foreign markets such as India and China offer incredible opportunities for the company. Both foreign nations desire to engage in trade with the company in exchange for allowing its products to be introduced within their borders. India and China have agreed to supply Power Trip with several necessary components for its generators in exchange for allowing the company free operations inside their national boundaries. Power Trip realizes there are numerous challenges facing the company in the foreign market arena. But guided by the belief in the expertise of its staff and the quality of its products, it is ready to face any challenges foreign markets put in front of them. This company stands eagerly poised awaiting its first international sale.
-Which one of the following would be the least restrictive way in which India and China could impede sales of Power Trip's products within their borders despite the agreement to allow free operations of the company within their nations' boundaries?

Accepted Answer

A)  Place a tariff on the products 
B)  Establish an ad valorem tariff for the products 
C)  Establish a generalized system of preferences (GSP) 
D)  Establish a very high specific tariff 
E)  Establish stringent custom duties 
A)  Place a tariff on the products 
B)  Establish an ad valorem tariff for the products 
C)  Establish a generalized system of preferences (GSP) 
D)  Establish a very high specific tariff 
E)  Establish stringent custom duties

Question 6

The United States has maintained a trade embargo for almost 50 years with _____ in an attempt to put pressure on the country to move toward democracy.

Accepted Answer

A)  the Ukraine 
B)  the Netherlands 
C)  Turkey 
D)  Italy 
E)  Cuba 
A)  the Ukraine 
B)  the Netherlands 
C)  Turkey 
D)  Italy 
E)  Cuba

Question 7

Defend the following statement: Trade and foreign investment are good for society.

Accepted Answer

Trade and foreign investment are indeed

Question 8

The corporate practice of acquiring or producing quality goods or services at a lower cost abroad thereby eliminating domestic production is called _____.

Accepted Answer

A)  outsourcing 
B)  exporting 
C)  importing 
D)  foreign investment 
E)  trading 
A)  outsourcing 
B)  exporting 
C)  importing 
D)  foreign investment 
E)  trading

Question 9

The growth trends in China and India today illustrate the impact that international business has on blue-collar and white-collar workers in wealthy countries as relatively low-skill factory jobs as well as high-skill service profession jobs migrate overseas.

Accepted Answer

A) True 
 B)False

Question 10

The two-way flow of exports and imports of goods is called ______.

Accepted Answer

The answer of The two-way flow of exports and imports...

Question 11

Emerging countries like Brazil, Russia, India, and China (BRIC)that have large populations, an expanding middle class, and a combination of relatively low wage-rates and rapidly growing economies tend to attract sizable less amounts of foreign investment.

Accepted Answer

A) True 
 B)False

Question 12

_______ refers to a non-tariff barrier in which an efficient exporting nation agrees to limit exports of a product to another country for a temporary period.

Accepted Answer

Voluntary

Question 13

Agreements, sometimes temporary, between countries (or a group of countries)that aim at achieving certain trade outcomes refers to _______.

Accepted Answer

The answer of Agreements, sometimes temporary, between countries (or a...

Question 14

_______ refers to a theory of international trade that supports the premise that a nation could only gain from trade if it had a trade surplus.

Accepted Answer

The answer of _______ refers to a theory of international...

Question 15

______ refers to an import tax that assigns a fixed dollar amount per physical unit.

Accepted Answer

The answer of ______ refers to an import tax that...

Question 16

Managed trade aims to replace global market or economic forces with government actions to determine trade outcomes.

Accepted Answer

A) True 
 B)False

Question 17

The ability of one country that has an absolute advantage in the production of two or more goods (or services)to produce one of them relatively more efficiently than the other refers to ______.

Accepted Answer

comparativ

Question 18

Scenario - Power Trip Unlimited, LLC
Is it hurricane season? Is there a tsunami warning? Did an earthquake take place somewhere in the world? While these are not pleasant questions to ask, the Miami, Florida-based business Power Trip Unlimited needs to be ready to quickly respond to such events. This unique company offers a vast line of emergency generators and supplies to help individuals caught in the devastation these types of natural occurrences can create. Staffed by experts in the generator field, Power Tripp Unlimited has assisted numerous people begin the recovery process in the aftermath of a calamity. In the past year alone, sales for this company have surpassed every goal that was set. This financial boom occurred while the company conducted sales only in the U.S. market.
Power Trip's management team now realizes that foreign markets such as India and China offer incredible opportunities for the company. Both foreign nations desire to engage in trade with the company in exchange for allowing its products to be introduced within their borders. India and China have agreed to supply Power Trip with several necessary components for its generators in exchange for allowing the company free operations inside their national boundaries. Power Trip realizes there are numerous challenges facing the company in the foreign market arena. But guided by the belief in the expertise of its staff and the quality of its products, it is ready to face any challenges foreign markets put in front of them. This company stands eagerly poised awaiting its first international sale.
-The agreement between Power Trip Unlimited, China, and India to engage in foreign trade will ultimately provide greater opportunities for consumers of Power Trip's products. Which one of the following is least likely to be considered a benefit of this trade agreement?

Accepted Answer

A)  Consumer choices may be limited by government restrictions on the operational capacity of the various products. 
B)  There will be a greater amount of choice for consumers. 
C)  Consumers may be offered a lower price on the goods. 
D)  Consumers will be afforded a higher living standard. 
E)  Consumers may have greater access to the product during emergency situations 
A)  Consumer choices may be limited by government restrictions on the operational capacity of the various products. 
B)  There will be a greater amount of choice for consumers. 
C)  Consumers may be offered a lower price on the goods. 
D)  Consumers will be afforded a higher living standard. 
E)  Consumers may have greater access to the product during emergency situations

Question 19

Of the following statements about mercantilism, which is NOT true?

Accepted Answer

A)  It was practiced as Europe emerged from the feudal systems of the Middle Ages and moved toward nationalism 
B)  Mercantilists believed that for a nation to become wealthy, that nation must export as much as possible and, in turn, import as little as possible. 
C)  During the time it was practiced, wealth was largely determined by the amount of land one had access to. 
D)  Mercantilists did not want, or care, to see the big picture. 
E)  Mercantilists encouraged their people to produce large families. 
A)  It was practiced as Europe emerged from the feudal systems of the Middle Ages and moved toward nationalism 
B)  Mercantilists believed that for a nation to become wealthy, that nation must export as much as possible and, in turn, import as little as possible. 
C)  During the time it was practiced, wealth was largely determined by the amount of land one had access to. 
D)  Mercantilists did not want, or care, to see the big picture. 
E)  Mercantilists encouraged their people to produce large families.

Question 20

Taxes meant to raise export cost and divert production for home consumption refers to _______.

Accepted Answer

The answer of Taxes meant to raise export cost and...

_______ refers to the ability of one country to produce a good or service more efficiently than another.

The key assumptions for the H-O theory to work are: 1)perfect competition in the marketplace; and (2)_____.

Which of the following was NOT one of the top exporting nations in 2010?

It is estimated that for every billion dollars worth of exports from the United States _____ domestic jobs are created.

The United States has maintained a trade embargo for almost 50 years with _____ in an attempt to put pressure on the country to move toward democracy.

Defend the following statement: Trade and foreign investment are good for society.

The corporate practice of acquiring or producing quality goods or services at a lower cost abroad thereby eliminating domestic production is called _____.

The growth trends in China and India today illustrate the impact that international business has on blue-collar and white-collar workers in wealthy countries as relatively low-skill factory jobs as well as high-skill service profession jobs migrate overseas.

The two-way flow of exports and imports of goods is called ______.

Emerging countries like Brazil, Russia, India, and China (BRIC)that have large populations, an expanding middle class, and a combination of relatively low wage-rates and rapidly growing economies tend to attract sizable less amounts of foreign investment.

_______ refers to a non-tariff barrier in which an efficient exporting nation agrees to limit exports of a product to another country for a temporary period.

Agreements, sometimes temporary, between countries (or a group of countries)that aim at achieving certain trade outcomes refers to _______.

_______ refers to a theory of international trade that supports the premise that a nation could only gain from trade if it had a trade surplus.

______ refers to an import tax that assigns a fixed dollar amount per physical unit.

Managed trade aims to replace global market or economic forces with government actions to determine trade outcomes.

The ability of one country that has an absolute advantage in the production of two or more goods (or services)to produce one of them relatively more efficiently than the other refers to ______.

Of the following statements about mercantilism, which is NOT true?

Taxes meant to raise export cost and divert production for home consumption refers to _______.

The Rise of Globalization

Regional Economic Integration

The International Flow of Funds and Exchange Rates

The Cultural Environment

The Legal and Political Environment of Global Business

Corruption and Ethics in Global Business

Entry Strategies in Global Business

Control of Global Business

The Organization of Global Business

Global Human Resource Management

Global Marketing

Global Operations and Supply-Chain Management

Global Financial Management

Accounting and Taxation in Global Business

Filters

Exam 2: The Evolution of International Business

_______ refers to the ability of one country to produce a good or service more efficiently than another.

The key assumptions for the H-O theory to work are: 1)perfect competition in the marketplace; and (2)_____.

Which of the following was NOT one of the top exporting nations in 2010?

It is estimated that for every billion dollars worth of exports from the United States _____ domestic jobs are created.

The United States has maintained a trade embargo for almost 50 years with _____ in an attempt to put pressure on the country to move toward democracy.

Defend the following statement: Trade and foreign investment are good for society.

The corporate practice of acquiring or producing quality goods or services at a lower cost abroad thereby eliminating domestic production is called _____.

The growth trends in China and India today illustrate the impact that international business has on blue-collar and white-collar workers in wealthy countries as relatively low-skill factory jobs as well as high-skill service profession jobs migrate overseas.

The two-way flow of exports and imports of goods is called ______.

Emerging countries like Brazil, Russia, India, and China (BRIC)that have large populations, an expanding middle class, and a combination of relatively low wage-rates and rapidly growing economies tend to attract sizable less amounts of foreign investment.

_______ refers to a non-tariff barrier in which an efficient exporting nation agrees to limit exports of a product to another country for a temporary period.

Agreements, sometimes temporary, between countries (or a group of countries)that aim at achieving certain trade outcomes refers to _______.

_______ refers to a theory of international trade that supports the premise that a nation could only gain from trade if it had a trade surplus.

______ refers to an import tax that assigns a fixed dollar amount per physical unit.

Managed trade aims to replace global market or economic forces with government actions to determine trade outcomes.

The ability of one country that has an absolute advantage in the production of two or more goods (or services)to produce one of them relatively more efficiently than the other refers to ______.

Of the following statements about mercantilism, which is NOT true?

Taxes meant to raise export cost and divert production for home consumption refers to _______.

The Rise of Globalization

Regional Economic Integration

The International Flow of Funds and Exchange Rates

The Cultural Environment

The Legal and Political Environment of Global Business

Corruption and Ethics in Global Business

Entry Strategies in Global Business

Control of Global Business

The Organization of Global Business

Global Human Resource Management

Global Marketing

Global Operations and Supply-Chain Management

Global Financial Management

Accounting and Taxation in Global Business

Filters