Question 1

A system in which individuals,rather than the government,make the majority of economic decisions is commonly referred to as a ________.

Accepted Answer

A)  command economy 
B)  market economy 
C)  private economy 
D)  mixed economy 
A)  command economy 
B)  market economy 
C)  private economy 
D)  mixed economy

Question 2

What is meant by the idea of economic freedom? What factors are used in the Economic Freedom Index? For managers,what role does the Economic Freedom Index play in analyzing the potential of a country?

Accepted Answer

a.Economic freedom is the "absolute righ

Question 3

Country X is in the process of transforming from a command economy to a market economy.This process most likely involves ________.

Accepted Answer

A)  standardized procedures implemented by the state 
B)  high economic growth rates for the long-term 
C)  privatization of many factors of production 
D)  violent political and legal upheaval 
A)  standardized procedures implemented by the state 
B)  high economic growth rates for the long-term 
C)  privatization of many factors of production 
D)  violent political and legal upheaval

Question 4

There is a strong relationship between skewed income distributions and the split between those who live in urban settings versus those who live in rural areas.

Accepted Answer

A) True 
 B)False

Question 5

A worrisome outcome of chronic inflation is that it tends to ________.

Accepted Answer

A)  erode confidence in a country's currency 
B)  give central banking officials excessive flexibility to manage monetary policy 
C)  increase the real income of people, thereby inflating their spending and borrowing levels 
D)  lower consumer demand for foreign goods, which triggers lower prices and eventually lower employment 
A)  erode confidence in a country's currency 
B)  give central banking officials excessive flexibility to manage monetary policy 
C)  increase the real income of people, thereby inflating their spending and borrowing levels 
D)  lower consumer demand for foreign goods, which triggers lower prices and eventually lower employment

Question 6

The so-called "misery index" is the sum of a country's inflation and unemployment rates.

Accepted Answer

A) True 
 B)False

Question 7

According to the concept of green economics,measuring a country's economic performance should also take into account ________.

Accepted Answer

A)  market share 
B)  population size 
C)  ecological costs 
D)  cost-of-living increases 
A)  market share 
B)  population size 
C)  ecological costs 
D)  cost-of-living increases

Question 8

A firm with operations in Denmark can most likely expect all of the following EXCEPT ________.

Accepted Answer

A)  high taxes 
B)  significant regulation 
C)  tough job-protection laws 
D)  minimal monetary policies 
A)  high taxes 
B)  significant regulation 
C)  tough job-protection laws 
D)  minimal monetary policies

Question 9

In most cases,governments ________ in order to regulate inflation.

Accepted Answer

A)  lower interest rates 
B)  increase taxes 
C)  raise interest rates 
D)  decrease taxes 
A)  lower interest rates 
B)  increase taxes 
C)  raise interest rates 
D)  decrease taxes

Question 10

The recent global credit crisis has interrupted the trend of national economies ________.

Accepted Answer

A)  rapidly adopting the command market model 
B)  steadily adopting the free market model 
C)  moving from the mixed to the command model 
D)  turning away from the mixed model 
A)  rapidly adopting the command market model 
B)  steadily adopting the free market model 
C)  moving from the mixed to the command model 
D)  turning away from the mixed model

Question 11

Inflation occurs because aggregate demand is growing as fast as aggregate supply.

Accepted Answer

A) True 
 B)False

Question 12

A car manufactured in the U.S.by Toyota would be included in the calculation of the GDP for the United States.

Accepted Answer

A) True 
 B)False

Question 13

What is the difference between a developing country and a developed country? What significant trends are occurring in each type of market that relate to international business decisions?

Accepted Answer

Low- and middle-income nations are known

Question 14

The measure of the value of production that occurs within a country's borders without regard to whether the production is done by domestic or foreign factors of production is its ________.

Accepted Answer

A)  net national product (NNP) 
B)  gross national product (GNP) 
C)  gross domestic product (GDP) 
D)  gross national income (GNI) 
A)  net national product (NNP) 
B)  gross national product (GNP) 
C)  gross domestic product (GDP) 
D)  gross national income (GNI)

Question 15

Uneven income distribution ________.

Accepted Answer

A)  exists in almost every country 
B)  is largely a problem for poorer nations 
C)  primarily affects people in urban settings 
D)  is limited to a small share of the world population 
A)  exists in almost every country 
B)  is largely a problem for poorer nations 
C)  primarily affects people in urban settings 
D)  is limited to a small share of the world population

Question 16

The Human Development Index measures the average achievements in a country on three basic dimensions of human development,including ________.

Accepted Answer

A)  promotion of cultural values 
B)  quantity of free time 
C)  extent of knowledge 
D)  sustainability 
A)  promotion of cultural values 
B)  quantity of free time 
C)  extent of knowledge 
D)  sustainability

Question 17

In a country that practices state capitalism,all of the following are most likely to be handled by the state EXCEPT ________.

Accepted Answer

A)  leveraging control of the financial system 
B)  developing national corporations 
C)  supporting the local activities of foreign competitors 
D)  systematically managing trade relations 
A)  leveraging control of the financial system 
B)  developing national corporations 
C)  supporting the local activities of foreign competitors 
D)  systematically managing trade relations

Question 18

The two main categories in the balance of payments are the ________.

Accepted Answer

A)  merchandise exchange account and the services account 
B)  external debt and the unilateral transfers account 
C)  merchandise trade account and the capital account 
D)  current account and the capital account 
A)  merchandise exchange account and the services account 
B)  external debt and the unilateral transfers account 
C)  merchandise trade account and the capital account 
D)  current account and the capital account

Question 19

The ________ starts with the same accounting framework used to calculate GDP but then adjusts for values assigned to environmental quality,population health,livelihood security,equity,free time,and educational attainment.

Accepted Answer

A)  Gross National Index 
B)  Net National Product 
C)  Genuine Progress Indicator 
D)  Human Development Index 
A)  Gross National Index 
B)  Net National Product 
C)  Genuine Progress Indicator 
D)  Human Development Index

Question 20

In a command economy,________.

Accepted Answer

A)  businesses and consumers are assumed to be the best judges of how resources should be allocated 
B)  the government sets goals and determines the price and quantity of what is produced 
C)  different economic sectors coordinate the activities of the federal government 
D)  each enterprise sets its goals before making reports to the central government 
A)  businesses and consumers are assumed to be the best judges of how resources should be allocated 
B)  the government sets goals and determines the price and quantity of what is produced 
C)  different economic sectors coordinate the activities of the federal government 
D)  each enterprise sets its goals before making reports to the central government

A system in which individuals,rather than the government,make the majority of economic decisions is commonly referred to as a ________.

What is meant by the idea of economic freedom? What factors are used in the Economic Freedom Index? For managers,what role does the Economic Freedom Index play in analyzing the potential of a country?

Country X is in the process of transforming from a command economy to a market economy.This process most likely involves ________.

There is a strong relationship between skewed income distributions and the split between those who live in urban settings versus those who live in rural areas.

A worrisome outcome of chronic inflation is that it tends to ________.

The so-called "misery index" is the sum of a country's inflation and unemployment rates.

According to the concept of green economics,measuring a country's economic performance should also take into account ________.

A firm with operations in Denmark can most likely expect all of the following EXCEPT ________.

In most cases,governments ________ in order to regulate inflation.

The recent global credit crisis has interrupted the trend of national economies ________.

Inflation occurs because aggregate demand is growing as fast as aggregate supply.

A car manufactured in the U.S.by Toyota would be included in the calculation of the GDP for the United States.

What is the difference between a developing country and a developed country? What significant trends are occurring in each type of market that relate to international business decisions?

The measure of the value of production that occurs within a country's borders without regard to whether the production is done by domestic or foreign factors of production is its ________.

Uneven income distribution ________.

The Human Development Index measures the average achievements in a country on three basic dimensions of human development,including ________.

In a country that practices state capitalism,all of the following are most likely to be handled by the state EXCEPT ________.

The two main categories in the balance of payments are the ________.

The ________ starts with the same accounting framework used to calculate GDP but then adjusts for values assigned to environmental quality,population health,livelihood security,equity,free time,and educational attainment.

In a command economy,________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters

Exam 4: The Economic Environments Facing Businesses

A system in which individuals,rather than the government,make the majority of economic decisions is commonly referred to as a ________.

What is meant by the idea of economic freedom? What factors are used in the Economic Freedom Index? For managers,what role does the Economic Freedom Index play in analyzing the potential of a country?

Country X is in the process of transforming from a command economy to a market economy.This process most likely involves ________.

There is a strong relationship between skewed income distributions and the split between those who live in urban settings versus those who live in rural areas.

A worrisome outcome of chronic inflation is that it tends to ________.

The so-called "misery index" is the sum of a country's inflation and unemployment rates.

According to the concept of green economics,measuring a country's economic performance should also take into account ________.

A firm with operations in Denmark can most likely expect all of the following EXCEPT ________.

In most cases,governments ________ in order to regulate inflation.

The recent global credit crisis has interrupted the trend of national economies ________.

Inflation occurs because aggregate demand is growing as fast as aggregate supply.

A car manufactured in the U.S.by Toyota would be included in the calculation of the GDP for the United States.

What is the difference between a developing country and a developed country? What significant trends are occurring in each type of market that relate to international business decisions?

The measure of the value of production that occurs within a country's borders without regard to whether the production is done by domestic or foreign factors of production is its ________.

Uneven income distribution ________.

The Human Development Index measures the average achievements in a country on three basic dimensions of human development,including ________.

In a country that practices state capitalism,all of the following are most likely to be handled by the state EXCEPT ________.

The two main categories in the balance of payments are the ________.

The ________ starts with the same accounting framework used to calculate GDP but then adjusts for values assigned to environmental quality,population health,livelihood security,equity,free time,and educational attainment.

In a command economy,________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters