WGU C211 OA GLOBAL ECONOMICS EXAM
QUESTIONS WITH CORRECT ANSWERS
2026/2027 LATEST UPDATE
The _____ theory is based on the assumption that the wealth of the
world is fixed. - ANS ✔- mercantilism
Import quotas are a type of _____. - ANS ✔-tariff barrier
According to the theory of absolute advantage, under free trade, -
ANS ✔-Each nation gains by specializing in economic activities in
which a nation has absolute advantage.
Which of the following is NOT a nontariff trade barrier (NTB)? -
ANS ✔-Cultural distance
Chile requires 50 units of resource to produce one ton of wine and 20
units of resource to produce one
ton of blueberries. France requires 30 units of resource to produce one
ton of wine and 40 units of resource to produce one ton of blueberries.
Which of the following is true? - ANS ✔-France has a comparative
advantage in wine.
Which of the following theories does NOT lead to the conclusion that
unrestricted free trade is in the
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,best interests of all countries? - ANS ✔-Strategic trade theory
Free trade is defined as: - ANS ✔-The idea that market forces should
determine how much to trade with little or no government
intervention.
According to the theory of absolute advantage, under free trade, -
ANS ✔-each nation gains by specializing in economic activities in
which a nation has absolute advantage.
The resource-based view of global business differs from the
institution-based view of global business
in that the resource-based view _____. - ANS ✔-focuses on the
internal strengths on the firm Which of the following is true of
globalization according to the "pendulum view" perspective? -
ANS ✔-Globalization is a not a one-directional phenomenon.
The _____ of globalization suggests that globalization is neither
recent nor one-directional.
-
ANS ✔-pendulum view
Which of the following is true of semiglobalization? - ANS ✔-It is a
type of globalization that lies between total isolation and total
globalization.
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, Globalization can be viewed as: - ANS ✔-A new force sweeping
through the world in recent times.
A long-run historical evolution since the dawn of human history.
A pendulum that swings from one extreme to another from time to
time.
Name the three views of globalization. - ANS ✔-A recent force, a
long-running evolution, and a pendulum
The _____ theory viewed international trade as a zero-sum game. -
ANS ✔-mercantilism
The _____ principle advocated that governments should actively
protect domestic industries from
imports and vigorously promote exports. - ANS ✔-protectionism
Which of the following is a modern trade theory? - ANS ✔-National
competitive advantage
Which of the following is NOT a nontariff trade barrier (NTB)? -
ANS ✔-Cultural distance
Protectionism is similar to mercantilism as they both advocated
_____. - ANS ✔-government involvement in international trade
Page 3 of 30
QUESTIONS WITH CORRECT ANSWERS
2026/2027 LATEST UPDATE
The _____ theory is based on the assumption that the wealth of the
world is fixed. - ANS ✔- mercantilism
Import quotas are a type of _____. - ANS ✔-tariff barrier
According to the theory of absolute advantage, under free trade, -
ANS ✔-Each nation gains by specializing in economic activities in
which a nation has absolute advantage.
Which of the following is NOT a nontariff trade barrier (NTB)? -
ANS ✔-Cultural distance
Chile requires 50 units of resource to produce one ton of wine and 20
units of resource to produce one
ton of blueberries. France requires 30 units of resource to produce one
ton of wine and 40 units of resource to produce one ton of blueberries.
Which of the following is true? - ANS ✔-France has a comparative
advantage in wine.
Which of the following theories does NOT lead to the conclusion that
unrestricted free trade is in the
Page 1 of 30
,best interests of all countries? - ANS ✔-Strategic trade theory
Free trade is defined as: - ANS ✔-The idea that market forces should
determine how much to trade with little or no government
intervention.
According to the theory of absolute advantage, under free trade, -
ANS ✔-each nation gains by specializing in economic activities in
which a nation has absolute advantage.
The resource-based view of global business differs from the
institution-based view of global business
in that the resource-based view _____. - ANS ✔-focuses on the
internal strengths on the firm Which of the following is true of
globalization according to the "pendulum view" perspective? -
ANS ✔-Globalization is a not a one-directional phenomenon.
The _____ of globalization suggests that globalization is neither
recent nor one-directional.
-
ANS ✔-pendulum view
Which of the following is true of semiglobalization? - ANS ✔-It is a
type of globalization that lies between total isolation and total
globalization.
Page 2 of 30
, Globalization can be viewed as: - ANS ✔-A new force sweeping
through the world in recent times.
A long-run historical evolution since the dawn of human history.
A pendulum that swings from one extreme to another from time to
time.
Name the three views of globalization. - ANS ✔-A recent force, a
long-running evolution, and a pendulum
The _____ theory viewed international trade as a zero-sum game. -
ANS ✔-mercantilism
The _____ principle advocated that governments should actively
protect domestic industries from
imports and vigorously promote exports. - ANS ✔-protectionism
Which of the following is a modern trade theory? - ANS ✔-National
competitive advantage
Which of the following is NOT a nontariff trade barrier (NTB)? -
ANS ✔-Cultural distance
Protectionism is similar to mercantilism as they both advocated
_____. - ANS ✔-government involvement in international trade
Page 3 of 30
