Question 1

Which of these countries is Central Europe's mightiest trading partner?

Accepted Answer

A)  Germany 
B)  Hungary 
C)  Japan 
D)  The United States 
A)  Germany 
B)  Hungary 
C)  Japan 
D)  The United States

Question 2

Given the decline of manufacturing activities worldwide, service exports now make up around 80 percent of total world trade.

Accepted Answer

A) True 
 B)False

Question 3

The ________ theory states that: (1) there are gains to be had from specialization and increasing economies of scale, (2) those companies first to enter a market can create barriers to entry, and (3) government may have a role to play in assisting its home-based companies.

Accepted Answer

The answer of The ________ theory states that: (1) there...

Question 4

Scenario: Conquering International Fulfillment
Jack Damon, a Boston-based entrepreneur, is determined to not make the same mistakes that hindered his former employer. Jack knows that to expand his international sales he must make some changes to how his orders are filled.
-One of Jack's customers is demanding that the order she placed during the busy holiday season be filled within three days. Although this is nearly impossible, Jack should promise to fill the order ________.

Accepted Answer

A)  as demanded to avoid losing the transaction 
B)  as soon as possible but without specific time commitments 
C)  as demanded and pressure shipping to work faster 
D)  by simply hoping for the best 
A)  as demanded to avoid losing the transaction 
B)  as soon as possible but without specific time commitments 
C)  as demanded and pressure shipping to work faster 
D)  by simply hoping for the best

Question 5

The Leontief paradox describes evidence ________.

Accepted Answer

A)  that U.S. exports require more labor-intensive production than its imports 
B)  in support of factor proportions theory 
C)  that U.S. exports require more capital-intensive production than its imports 
D)  that the assumptions of new trade theory are invalid 
A)  that U.S. exports require more labor-intensive production than its imports 
B)  in support of factor proportions theory 
C)  that U.S. exports require more capital-intensive production than its imports 
D)  that the assumptions of new trade theory are invalid

Question 6

The Porter diamond consists of the following four elements: factor conditions, demand conditions, supply conditions, and company conditions.

Accepted Answer

A) True 
 B)False

Question 7

________ developed the theory of comparative advantage.

Accepted Answer

A)  David Ricardo 
B)  Adam Smith 
C)  Bertil Ohlin 
D)  Raymond Vernon 
A)  David Ricardo 
B)  Adam Smith 
C)  Bertil Ohlin 
D)  Raymond Vernon

Question 8

________ is the ability of a nation to produce a good more efficiently than any other nation.

Accepted Answer

The answer of ________ is the ability of a nation...

Question 9

________ states that countries produce and export goods that require resources that are abundant and import goods that require resources in short supply.

Accepted Answer

Factor pro

Question 10

According to the theory of ________, trade is still beneficial even if one country is less efficient in the production of two goods, as long as it is less inefficient in the production of one of the goods.

Accepted Answer

A)  absolute advantage 
B)  mercantilism 
C)  comparative advantage 
D)  factor proportions 
A)  absolute advantage 
B)  mercantilism 
C)  comparative advantage 
D)  factor proportions

Question 11

Service exports account for around ________ percent of total world trade.

Accepted Answer

A)  12 
B)  2 
C)  48 
D)  20 
E)  80 
A)  12 
B)  2 
C)  48 
D)  20 
E)  80

Question 12

Define mercantilism. Explain how it worked and what were its flaws.

Accepted Answer

Mercantilism was an economic theory and

Question 13

Discuss the factor proportions theory and describe the evidence on this theory.

Accepted Answer

The answer of Discuss the factor proportions theory and describe...

Question 14

One avenue that countries used to implement mercantilism was to acquire less-developed territories (colonies) around the world.

Accepted Answer

A) True 
 B)False

Question 15

Two-way trade between high-income countries and low- and middle-income nations accounts for less than 1 percent of total world trade.

Accepted Answer

A) True 
 B)False

Question 16

The condition that results when the value of a nation's exports is greater than the value of its imports is called ________.

Accepted Answer

A)  trade deficit 
B)  mercantilism 
C)  trade surplus 
D)  absolute advantage 
A)  trade deficit 
B)  mercantilism 
C)  trade surplus 
D)  absolute advantage

Question 17

The smallest portion of total world trade takes place between ________.

Accepted Answer

A)  high-income countries and low- and middle-income nations 
B)  high-income economies 
C)  low- and middle-income nations 
D)  emerging markets 
A)  high-income countries and low- and middle-income nations 
B)  high-income economies 
C)  low- and middle-income nations 
D)  emerging markets

Question 18

________ consists of: (1) factor conditions, (2) demand conditions, (3) related and supporting industries, and (4) firm strategy, structure, and rivalry.

Accepted Answer

The answer of ________ consists of: (1) factor conditions, (2)...

Question 19

The most prominent mercantilist nations included all of the following EXCEPT ________.

Accepted Answer

A)  the Netherlands 
B)  Spain 
C)  the United States 
D)  Portugal 
A)  the Netherlands 
B)  Spain 
C)  the United States 
D)  Portugal

Question 20

One way to measure the importance of trade to a nation is to examine ________.

Accepted Answer

A)  its human development index relative to its CPI 
B)  the availability of natural resources that provides absolute advantage 
C)  its comparative advantage relative to those of its neighbors 
D)  the volume of an economy's trade relative to its total output 
A)  its human development index relative to its CPI 
B)  the availability of natural resources that provides absolute advantage 
C)  its comparative advantage relative to those of its neighbors 
D)  the volume of an economy's trade relative to its total output

Which of these countries is Central Europe's mightiest trading partner?

Given the decline of manufacturing activities worldwide, service exports now make up around 80 percent of total world trade.

The ________ theory states that: (1) there are gains to be had from specialization and increasing economies of scale, (2) those companies first to enter a market can create barriers to entry, and (3) government may have a role to play in assisting its home-based companies.

The Leontief paradox describes evidence ________.

The Porter diamond consists of the following four elements: factor conditions, demand conditions, supply conditions, and company conditions.

________ developed the theory of comparative advantage.

________ is the ability of a nation to produce a good more efficiently than any other nation.

________ states that countries produce and export goods that require resources that are abundant and import goods that require resources in short supply.

According to the theory of ________, trade is still beneficial even if one country is less efficient in the production of two goods, as long as it is less inefficient in the production of one of the goods.

Service exports account for around ________ percent of total world trade.

Define mercantilism. Explain how it worked and what were its flaws.

Discuss the factor proportions theory and describe the evidence on this theory.

One avenue that countries used to implement mercantilism was to acquire less-developed territories (colonies) around the world.

Two-way trade between high-income countries and low- and middle-income nations accounts for less than 1 percent of total world trade.

The condition that results when the value of a nation's exports is greater than the value of its imports is called ________.

The smallest portion of total world trade takes place between ________.

________ consists of: (1) factor conditions, (2) demand conditions, (3) related and supporting industries, and (4) firm strategy, structure, and rivalry.

The most prominent mercantilist nations included all of the following EXCEPT ________.

One way to measure the importance of trade to a nation is to examine ________.

Globalization

Cross-Cultrual Busines

Politics, Law, and Business Ethics

Economic Systems and Development

Business-Government Trade Relations

Foreign Direct Investment

Regional Economic Integration

International Financial Markets

International Money System

International Strategy and Organization

Analyzing International Opportunities

Selecting and Managing Entry Modes

Developing and Marketing Products

Managing International Operations

Hiring and Managing Employees

Filters

Exam 5: International Trade

Which of these countries is Central Europe's mightiest trading partner?

Given the decline of manufacturing activities worldwide, service exports now make up around 80 percent of total world trade.

The ________ theory states that: (1) there are gains to be had from specialization and increasing economies of scale, (2) those companies first to enter a market can create barriers to entry, and (3) government may have a role to play in assisting its home-based companies.

The Leontief paradox describes evidence ________.

The Porter diamond consists of the following four elements: factor conditions, demand conditions, supply conditions, and company conditions.

________ developed the theory of comparative advantage.

________ is the ability of a nation to produce a good more efficiently than any other nation.

________ states that countries produce and export goods that require resources that are abundant and import goods that require resources in short supply.

According to the theory of ________, trade is still beneficial even if one country is less efficient in the production of two goods, as long as it is less inefficient in the production of one of the goods.

Service exports account for around ________ percent of total world trade.

Define mercantilism. Explain how it worked and what were its flaws.

Discuss the factor proportions theory and describe the evidence on this theory.

One avenue that countries used to implement mercantilism was to acquire less-developed territories (colonies) around the world.

Two-way trade between high-income countries and low- and middle-income nations accounts for less than 1 percent of total world trade.

The condition that results when the value of a nation's exports is greater than the value of its imports is called ________.

The smallest portion of total world trade takes place between ________.

________ consists of: (1) factor conditions, (2) demand conditions, (3) related and supporting industries, and (4) firm strategy, structure, and rivalry.

The most prominent mercantilist nations included all of the following EXCEPT ________.

One way to measure the importance of trade to a nation is to examine ________.

Globalization

Cross-Cultrual Busines

Politics, Law, and Business Ethics

Economic Systems and Development

Business-Government Trade Relations

Foreign Direct Investment

Regional Economic Integration

International Financial Markets

International Money System

International Strategy and Organization

Analyzing International Opportunities

Selecting and Managing Entry Modes

Developing and Marketing Products

Managing International Operations

Hiring and Managing Employees

Filters