Exam 4: The Economic Environments Facing Businesses

In a command economy,the goods and services that a country produces,the quantity in which they are produced,and the prices at which they are sold are all planned by the government.

What general characteristics of a country should managers consider when analyzing an economic environment? What specific indicators help managers measure the economic development,performance,and potential of a country?

History suggests that if the economic crisis worsens,we are likely to see more people question the ________.

The government considers itself a better judge of resource allocation than businesses or citizens in a market economy.

Taylor Enterprises wants to expand its operations into Asia.Managers are focusing on countries with high degrees of economic freedom most likely because the firm is interested in a country with ________.

In response to the global credit crisis,the United States government took actions that increased economic freedom.

________ is a general,sustained rise in prices measured against a standard level of purchasing power.

Which of the following is most typical of a command economy?

Which of the following is most likely a true statement about the global economy since the 1980s?

The World Bank reports that approximately ________ percent of the world's population is poor.

Which of the following is NOT a characteristic of capitalism?

Kyle,an international manager for Apex Industries,has been given the task of analyzing the economies of three different emerging countries for the firm's potential expansion.Which of the following questions is LEAST relevant to Kyle's assignment?

Between 2000 and 2008,China's economy grew at a faster rate than Japan's economy.

The ________ view calls for companies to develop low-cost,high-powered,resource-minimizing innovations that can be marketed to the billions of people living on less than a few dollars a day.

Describe the three ways economies can be categorized.Which one do you believe is best? Why?

External debt results when the government spends more than it collects in revenues,whereas internal debt results when a government borrows money from foreign lenders.

Since the late 1980s,the growing emergence of freer markets has been powered by the realization that ________.

________ typically results when demand decreases and supply increases.

Which of the following ideas calls for assessing a country's performance based on factors such as life expectancy,leisure time,and income equality?

In a country's balance of payments,the ________ tracks all trade activity in merchandise.