IBUS6001 Multiple Choice Questions_Question Bank

IBUS6001 Multiple Choice Questions_Question Bank Multiple Choice Questions This document provides a list of MC questions to give students an idea how these types of questions will look like in the final exam. The final exam questions will be drawn from this list. Please note, the topics of the lecture change from semester to semester, so you will find questions in this list that related to topics we did not discuss this semester and that are accordingly not relevant for this semester. Please also note that we will not provide answers to these questions, neither here nor individually nor by email, these questions are just provided as examples. 1. Which of the following is not characteristic of globalization? A. National economies are turning into independent economic systems B. Material culture is starting to look similar the world over C. Perceived distance is shrinking due to advances in transportation and telecommunications D. Barriers to cross-border trade and investment are declining 2. Globalization has the opportunities for a firm to expand its revenues by selling around the world and its costs by producing in nations where key inputs are cheap. A. Reduced, reduced B. Increased, increased C. Increased, reduced D. Reduced, increased 3. Identify the incorrect statement concerning globalization. A. It has been blamed for unemployment in developed nations, environmental degradation and the Americanization of popular culture B. It has created new threats for businesses accustomed to dominating their domestic markets C. It is transforming industries and is highly welcomed by those who believed their jobs were protected from foreign competition D. According to most economists it is a very beneficial process where gains outweigh the losses by a wide margin 4. In the U.S., percent of firms that export are small companies employing fewer than 100 people. A. 90 B. 75 C. 50 D. 30 5. The most global markets currently are markets for A. Services B. Consumer goods C. Consumer durables D. Industrial goods 6. Which of the following is not an impediment that makes it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe? A. Reduced transportation costs B. Government regulations C. Issues associated with economic and political risk D. Barriers to foreign direct investment 7. The is primarily responsible for policing the world trading system and making sure nation-states adhere to the rules laid down in trade treaties signed by member states. A. International Development Association B. World Bank C. International court of justice D. World Trade Organization 8. The was created in 1944 by 44 nations that met in Breton Woods, New Hampshire to promote economic development. A. World Bank B. World Monetary Fund C. World Trade Organization D. United Nations 9. The institution, created in 1944 at Bretton Woods, responsible for maintaining order in the international monetary system is the A. IMF B. WTO C. UN D. UNESCO 10. occur(s) when a firm exports goods or services to consumers in another country. A. International trade B. Foreign direct investment C. Inward investment D. Merger and acquisitions 11. The was established to remove barriers to the free flow of goods, services and capital between nations. A. UN B. IMF C. GATT D. IDA 12. GATT's Uruguay Round of negotiations resulted in all of the following except that it A. Further reduced trade barriers B. Extended GATT to cover services as well as manufactured goods C. Provided enhanced protection for patents, trademarks and copyrights D. Established the International Monetary Fund 13. Under the Uruguay Round of GATT, A. Regulations to make it harder for foreign companies to enter markets were mandated B. The World Trade Organization was established C. The volume of world trade decreased D. Barriers to trade in manufactured goods were incorporated 14. At the Doha Round of the WTO in late 2001