,
,
,
,
,31. Which of the following has enabled globalization of markets?
A. Marginal differentiation among national
markets
B. Falling barriers to cross border
trade
C. Reduced homogeneity of material culture across
the world
D. Increased government ownership of factors of
production
32. Which of the following factors hinders globalization of consumer goods market?
A. National differences in tastes and
preferences
B. Higher production costs in developed
nations
C. Homogenization of material
culture
D. Increased outsourcing of goods and
services
33. Globalization of markets results in markets becoming _____.
A. more
interdependent
B. less
diverse
C. more
protected
D. less
competitive
34. A U.S. investment firm, Fin-Smart, set up a customer service call center in India to take
advantage of the lower labor costs. This is called ____.
A. homogenizing
markets
B. vertical
integration
C. international
outsourcing
D. horizontal
integration
,35. Early outsourcing efforts were primarily confined to _____.
A. health
care
B. service
activities
C. technological
research
D. manufacturing
activities
36. Which of the following is an impediment that makes it difficult for firms to achieve the
optimal dispersion of their productive activities to locations around the globe?
A. Transportation
costs
B. Government
deregulations
C. Reduction of barriers to trade between
countries
D. Reduction of barriers to foreign direct
investment
37. The General Agreement on Tariffs and Trade (GATT) was responsible for ____.
A. protecting government owned
enterprises
B. policing the global
marketplace
C. limiting nuclear
testing
D. promoting environment friendly
technology
38. 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
,39. The World Trade Organization promotes the:
A. lowering of barriers to cross-border trade and
investment.
B. development of poor nations through low-
interest loans.
C. state ownership of major
enterprises.
D. regulation of national
economies.
40. Which of the following is true about the International Monetary Fund?
A. It is primarily responsible for policing the world trading
system.
B. It is seen as the lender of last resort to nation-states whose economies are
in turmoil.
C. It is responsible for establishing multinational treaties to govern the global
business system.
D. It was established to formulate a coordinated policy response to financial crises in
developing nations.
41. The _____ was established on October 24, 1945, by 51 countries committed to preserving
peace through international cooperation and collective security.
A. World Trade
Organization
B. United
Nations
C. G2
0
D. World
Bank
42. The G20 was originally established to:
A. preserve peace through international cooperation and
collective security.
B. maintain order in the international monetary
system.
C. formulate a coordinated policy response to financial crises in
developing nations.
D. manage, regulate, and police the global
marketplace.
,43. _____ occurs when a firm exports goods or services to consumers in another country.
A. International
trade
B. Foreign direct
investment
C. Inward
investment
D. Outsourci
ng
44. Which of the following is a factor of production?
A. tariff
s
B. transportation
costs
C. capit
al
D. governme
nt
45. Which of the following is true regarding the WTO?
A. WTO stands for World Transition
Organization.
B. The WTO was succeeded by
GATT.
C. As of 2015, the WTO has 160
members.
D. The WTO is policed by the United
Nations.
46. Which of the following is focused on making low-interest loans to cash-strapped
governments in poor nations that wish to undertake significant infrastructure
investments?
A. The
WTO
B. The
GATT
C. The World
Bank
D. The
IMF
, 47. Which of the following was established to maintain order in the international monetary
system?
A. The
WTO
B. The
GATT
C. The World
Bank
D. The
IMF
48. Which of the following is true of the IMF?
A. It is often seen as the lender of first choice to nation-states whose economies
are in turmoil.
B. Its loans come with no strings
attached.
C. It is the less controversial of the two sister institutions, the IMF and the
World Bank.
D. It has emerged as a significant player in the global
economy.
49. In late 2001, the WTO launched a new round of talks in Doha aimed at:
A. helping member states to cope with
financial crisis.
B. liberalizing of the global trade and investment
framework.
C. protecting national economies from global
competition.
D. promoting higher standards of living in all
member states.
50. Which of the following is included in world merchandise trade?
A. Service
industry
B. Agricultural
labor
C. Foreign
services
D. Mining
products
,
,
,
,31. Which of the following has enabled globalization of markets?
A. Marginal differentiation among national
markets
B. Falling barriers to cross border
trade
C. Reduced homogeneity of material culture across
the world
D. Increased government ownership of factors of
production
32. Which of the following factors hinders globalization of consumer goods market?
A. National differences in tastes and
preferences
B. Higher production costs in developed
nations
C. Homogenization of material
culture
D. Increased outsourcing of goods and
services
33. Globalization of markets results in markets becoming _____.
A. more
interdependent
B. less
diverse
C. more
protected
D. less
competitive
34. A U.S. investment firm, Fin-Smart, set up a customer service call center in India to take
advantage of the lower labor costs. This is called ____.
A. homogenizing
markets
B. vertical
integration
C. international
outsourcing
D. horizontal
integration
,35. Early outsourcing efforts were primarily confined to _____.
A. health
care
B. service
activities
C. technological
research
D. manufacturing
activities
36. Which of the following is an impediment that makes it difficult for firms to achieve the
optimal dispersion of their productive activities to locations around the globe?
A. Transportation
costs
B. Government
deregulations
C. Reduction of barriers to trade between
countries
D. Reduction of barriers to foreign direct
investment
37. The General Agreement on Tariffs and Trade (GATT) was responsible for ____.
A. protecting government owned
enterprises
B. policing the global
marketplace
C. limiting nuclear
testing
D. promoting environment friendly
technology
38. 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
,39. The World Trade Organization promotes the:
A. lowering of barriers to cross-border trade and
investment.
B. development of poor nations through low-
interest loans.
C. state ownership of major
enterprises.
D. regulation of national
economies.
40. Which of the following is true about the International Monetary Fund?
A. It is primarily responsible for policing the world trading
system.
B. It is seen as the lender of last resort to nation-states whose economies are
in turmoil.
C. It is responsible for establishing multinational treaties to govern the global
business system.
D. It was established to formulate a coordinated policy response to financial crises in
developing nations.
41. The _____ was established on October 24, 1945, by 51 countries committed to preserving
peace through international cooperation and collective security.
A. World Trade
Organization
B. United
Nations
C. G2
0
D. World
Bank
42. The G20 was originally established to:
A. preserve peace through international cooperation and
collective security.
B. maintain order in the international monetary
system.
C. formulate a coordinated policy response to financial crises in
developing nations.
D. manage, regulate, and police the global
marketplace.
,43. _____ occurs when a firm exports goods or services to consumers in another country.
A. International
trade
B. Foreign direct
investment
C. Inward
investment
D. Outsourci
ng
44. Which of the following is a factor of production?
A. tariff
s
B. transportation
costs
C. capit
al
D. governme
nt
45. Which of the following is true regarding the WTO?
A. WTO stands for World Transition
Organization.
B. The WTO was succeeded by
GATT.
C. As of 2015, the WTO has 160
members.
D. The WTO is policed by the United
Nations.
46. Which of the following is focused on making low-interest loans to cash-strapped
governments in poor nations that wish to undertake significant infrastructure
investments?
A. The
WTO
B. The
GATT
C. The World
Bank
D. The
IMF
, 47. Which of the following was established to maintain order in the international monetary
system?
A. The
WTO
B. The
GATT
C. The World
Bank
D. The
IMF
48. Which of the following is true of the IMF?
A. It is often seen as the lender of first choice to nation-states whose economies
are in turmoil.
B. Its loans come with no strings
attached.
C. It is the less controversial of the two sister institutions, the IMF and the
World Bank.
D. It has emerged as a significant player in the global
economy.
49. In late 2001, the WTO launched a new round of talks in Doha aimed at:
A. helping member states to cope with
financial crisis.
B. liberalizing of the global trade and investment
framework.
C. protecting national economies from global
competition.
D. promoting higher standards of living in all
member states.
50. Which of the following is included in world merchandise trade?
A. Service
industry
B. Agricultural
labor
C. Foreign
services
D. Mining
products
