Exam 9: Global Finance and Business

Multinational corporations try to maneuver to obtain positive terms and search for states with stable currencies and political environments in which to make direct investments.

Central banks in industrialized countries maintain the value of the state's currency by limiting the amount of __________ and by preventing high inflation.

There is lingering poverty in much of the global South.This is despite the IMF and World Bank both attempting to promote __________ in poor countries,as part of each of their missions.

MNCs and the countries in which they invest often come into conflict over __________.

If a national currency is convertible,it means that __________.

From 1945 to 1971,the World Bank and IMF worked with states' central banks to maintain stable international monetary relations by pegging state currencies to the U.S.dollar and the dollar to gold.

The interest rate the government charges when it loans money to private banks is known as the __________ rate.

International monetary relations immediately after World War II were based on __________.

Industrialized states turn __________ policy over to semiautonomous central banks to ensure discipline in printing money.

The largest multinational corporations are based in developing states.

With respect to the decisions of the Federal Reserve,__________.

An exchange rate is the rate at which a state's __________ can be exchanged for a different state's __________.

Building a factory in a foreign country is an example of __________.

Which statement is true about multinational corporations in international political relations?

__________ investments involve tangible goods,unlike portfolio investments.

In recent years,China has maintained a low currency value,relative to other states,in order to __________.

What type of exchange rate system is typically utilized in the world today?

Which statement is a consequence of the globalization and integration of financial markets?

What is the common interest of states with respect to currencies?

What is the international business environment most conducive to the creation of wealth by MNCs?