Chapter 01 d d
Globalization
Trued/dFalsedQuestions
1. Adcompanyddoesdnotdneeddadlargedsizedtodfacilitate,danddbenefitdfrom,dthedglobalizationdofdmarkets.
True False
2. Companiesdhopedtodlowerdtheirdoveralldcostdstructuredordimprovedthedqualitydordfunctionalitydofdtheird
productdofferingdthroughdglobalizationdofdproduction.
True False
3. Thedmostdglobaldmarketsdcurrentlydaredmarketsdfordconsumerdproducts.
True False
4. Outsourcingdisdadprocessdthatdisdlimiteddtodmanufacturingdenterprises.
True False
5. ThedWorlddBankdhasdfocuseddondpolicingdthedworlddtradingdsystemdanddmakingdsurednation-
statesdadheredtodthedrulesdlaidddowndindtradedtreaties.
True False
6. ThedWorlddBankdisdknowndasdthedlenderdofdthedlastdresort.
True False
7. OnedofdthedUN'sdcentraldmandatesdisdthedpromotiondofdhigherdstandardsdofdliving,dfulldemployment,dandd
conditionsdofdeconomicdanddsocialdprogressdandddevelopment.
True False
8. ThedUruguaydRound,dfinalizeddindDecemberd1993,dreduceddprotectiondfordpatents,dtrademarks,dandd
copyrights.
True False
9. "Beggardthydneighbor"dretaliatorydtradedpoliciesdinvolveddcountriesdprogressivelydloweringdtraded
barriersdagainstdeachdother,dwhichdcontributeddtodthedGreatdDepressiondofdthed1930s.
True False
10. RiversdInc.,dadU.S.dbaseddsportsdappareldmanufacturer,dsetsdupdadproductiondunitdindChinadtodtaked
advantagedofdthedlowerdlabordcostsdthere.dThisdisdandexampledofdforeignddirectdinvestment.
True False
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HilldEducation.
,11. WorlddBankdgivesdandaiddofd100dmillionddollarsdtodKenyadfordcreatingdruraldhealthdcaredfacilities.dThisdisd
andexampledofdforeignddirectdinvestment.
True False
12. Thedloweringdofdbarriersdtodinternationaldtradedenablesdfirmsdtodviewdthedworld,dratherdthandadsingled
country,dasdtheirdmarket.
True False
13. AccordingdtodWTOddata,dthedvolumedofdworlddmerchandisedtradedhasdgrowndfasterdthandthedworldd
economydsinced1950.
True False
14. Thedcostdofdmicroprocessorsdcontinuesdtodfall,dwhiledtheirdpowerdincreases.dThisdstatementdsupportsd
thedpredictionsdmadedbydMoore'sdLaw.
True False
15. Non-
U.S.dfirmsdincreasinglydbegandtodinvestdacrossdnationaldbordersdbecausedtheydwanteddtoddispersedprod
uctiondactivitiesdtodoptimaldlocationsdanddtodbuilddaddirectdpresencedindmajordforeigndmarkets.
True False
16. Adcurrentdtrenddindinternationaldbusinessdisdtheddeclinedofdmedium-
sizeddanddsmalldmultinationals,dknowndasdmini-multinationals.
True False
17. ThedglobalizationdofdthedworlddeconomydhasdresulteddindadrelativedincreasedindtheddominancedofdU.S.d
firmsdindthedglobaldmarketplace.
True False
18. DoingdbusinessdindRussiadinvolvesdrisksdbecausedthedcountrydhasdshowndsignsdofdshiftingdbackdtowardd
greaterdstatedinvolvementdindeconomicdactivitydanddauthoritariandgovernment.
True False
19. Globalizationdcriticsdarguedthatdtheddeclinedindunskilleddwagedratesdisdduedtodthedmigrationdofdlow-
wagedmanufacturingdjobsdoffshoredanddadcorrespondingdreductiondinddemanddfordunskilleddworkers.
True False
20. Evidencedsuggestsdthatdtechnologicaldchangedhasdhaddadbiggerdimpactdthandglobalizationdondthed
decliningdsharedofdnationaldincomedenjoyeddbydlabor.
True False
21. Accordingdtodsupportersdofdfreedtrade,dasdcountriesdgetdricherdtheydcommitdgreaterdviolationdofd
environmentaldanddlabordregulations.
True False
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HilldEducation.
,22. Accordingdtodcriticsdofdglobalization,dtoday'sdinterdependentdglobaldeconomydlimitsdadnation'sdnationald
sovereignty.
True False
23. Supportersdofddebtdreliefdarguedthatdnewddemocraticdgovernmentsdindpoordnationsdshoulddnotdbed
forceddtodhonorddebtsdincurreddbydcorruptdandddictatorialdpredecessors.
True False
24. Adfirmddoesdnotdhavedtodbecomedadmultinationaldenterprisedtodengagedindinternationaldbusiness.
True False
25. Managingdandinternationaldbusinessdisdmuchdeasierdthandmanagingdaddomesticdbusiness.
True False
MultipledChoicedQuestions
26. Thedshiftdtowarddadmoredintegrateddanddinterdependentdworlddeconomydisdreferreddtodas .
A. outsourcing
B. internationaldmarketing
C. privatizatiod
n
D. globalizatiod
n
27. Ind2008dandd2009,dthe
becamedthedforumdthoughdwhichdmajordnationsdattempteddtodlaunchdad
coordinateddpolicydresponsedtodthedglobaldfinancialdcrisis,dwhichdstarteddindAmerica.
A. GATT
B. GroupdofdTend(G20)
C. GroupdofdTwentyd(G20)
D. WorlddTradedOrganization
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HilldEducation.
, 28. ThedUruguaydRounddprovided:
A. reduceddprotectiondfordpatents,dtrademarks,danddcopyrights.
B. enhanceddprotectiondfordpatents,dtrademarks,dandd
copyrights.
C. increaseddtradedbarriers.
D. reduceddcoveragedofdservicesdanddmanufactureddgoods.
29. Sincedthedcollapsedofdcommunism datdthedenddofdthed1980s,dthederstwhiledcommunistdnationsdhaved
transformeddtheirdeconomiesdbydglobalizingdtheirdmarkets.dThisdinvolves .
A. regulatingdmarkets
B. privatizingdstate-owneddenterprises
C. decreasingd
competition
D. reducingdforeigndinvestment
30. Whichdofdthedfollowingdisdadconsequencedofdglobalization?
A. Decreasingdinterdependencedbetweendnationald
economies
B. Increasingdoutsourcingdofdservices
C. Differentiationdofdmaterialdculture
D. Increasedindbarriersdtodcross-borderdtrade
31. Whichdofdthedfollowingdhasdenableddglobalizationdofdmarkets?
A. Marginalddifferentiationdamongdnationaldmarkets
B. Fallingdbarriersdtodcrossdborderdtrade
C. Reduceddhomogeneitydofdmaterialdculturedacrossdthedworld
D. Increaseddgovernmentdownershipdofdfactorsdofdproduction
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HilldEducation.
Globalization
Trued/dFalsedQuestions
1. Adcompanyddoesdnotdneeddadlargedsizedtodfacilitate,danddbenefitdfrom,dthedglobalizationdofdmarkets.
True False
2. Companiesdhopedtodlowerdtheirdoveralldcostdstructuredordimprovedthedqualitydordfunctionalitydofdtheird
productdofferingdthroughdglobalizationdofdproduction.
True False
3. Thedmostdglobaldmarketsdcurrentlydaredmarketsdfordconsumerdproducts.
True False
4. Outsourcingdisdadprocessdthatdisdlimiteddtodmanufacturingdenterprises.
True False
5. ThedWorlddBankdhasdfocuseddondpolicingdthedworlddtradingdsystemdanddmakingdsurednation-
statesdadheredtodthedrulesdlaidddowndindtradedtreaties.
True False
6. ThedWorlddBankdisdknowndasdthedlenderdofdthedlastdresort.
True False
7. OnedofdthedUN'sdcentraldmandatesdisdthedpromotiondofdhigherdstandardsdofdliving,dfulldemployment,dandd
conditionsdofdeconomicdanddsocialdprogressdandddevelopment.
True False
8. ThedUruguaydRound,dfinalizeddindDecemberd1993,dreduceddprotectiondfordpatents,dtrademarks,dandd
copyrights.
True False
9. "Beggardthydneighbor"dretaliatorydtradedpoliciesdinvolveddcountriesdprogressivelydloweringdtraded
barriersdagainstdeachdother,dwhichdcontributeddtodthedGreatdDepressiondofdthed1930s.
True False
10. RiversdInc.,dadU.S.dbaseddsportsdappareldmanufacturer,dsetsdupdadproductiondunitdindChinadtodtaked
advantagedofdthedlowerdlabordcostsdthere.dThisdisdandexampledofdforeignddirectdinvestment.
True False
1-1
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HilldEducation.
,11. WorlddBankdgivesdandaiddofd100dmillionddollarsdtodKenyadfordcreatingdruraldhealthdcaredfacilities.dThisdisd
andexampledofdforeignddirectdinvestment.
True False
12. Thedloweringdofdbarriersdtodinternationaldtradedenablesdfirmsdtodviewdthedworld,dratherdthandadsingled
country,dasdtheirdmarket.
True False
13. AccordingdtodWTOddata,dthedvolumedofdworlddmerchandisedtradedhasdgrowndfasterdthandthedworldd
economydsinced1950.
True False
14. Thedcostdofdmicroprocessorsdcontinuesdtodfall,dwhiledtheirdpowerdincreases.dThisdstatementdsupportsd
thedpredictionsdmadedbydMoore'sdLaw.
True False
15. Non-
U.S.dfirmsdincreasinglydbegandtodinvestdacrossdnationaldbordersdbecausedtheydwanteddtoddispersedprod
uctiondactivitiesdtodoptimaldlocationsdanddtodbuilddaddirectdpresencedindmajordforeigndmarkets.
True False
16. Adcurrentdtrenddindinternationaldbusinessdisdtheddeclinedofdmedium-
sizeddanddsmalldmultinationals,dknowndasdmini-multinationals.
True False
17. ThedglobalizationdofdthedworlddeconomydhasdresulteddindadrelativedincreasedindtheddominancedofdU.S.d
firmsdindthedglobaldmarketplace.
True False
18. DoingdbusinessdindRussiadinvolvesdrisksdbecausedthedcountrydhasdshowndsignsdofdshiftingdbackdtowardd
greaterdstatedinvolvementdindeconomicdactivitydanddauthoritariandgovernment.
True False
19. Globalizationdcriticsdarguedthatdtheddeclinedindunskilleddwagedratesdisdduedtodthedmigrationdofdlow-
wagedmanufacturingdjobsdoffshoredanddadcorrespondingdreductiondinddemanddfordunskilleddworkers.
True False
20. Evidencedsuggestsdthatdtechnologicaldchangedhasdhaddadbiggerdimpactdthandglobalizationdondthed
decliningdsharedofdnationaldincomedenjoyeddbydlabor.
True False
21. Accordingdtodsupportersdofdfreedtrade,dasdcountriesdgetdricherdtheydcommitdgreaterdviolationdofd
environmentaldanddlabordregulations.
True False
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HilldEducation.
,22. Accordingdtodcriticsdofdglobalization,dtoday'sdinterdependentdglobaldeconomydlimitsdadnation'sdnationald
sovereignty.
True False
23. Supportersdofddebtdreliefdarguedthatdnewddemocraticdgovernmentsdindpoordnationsdshoulddnotdbed
forceddtodhonorddebtsdincurreddbydcorruptdandddictatorialdpredecessors.
True False
24. Adfirmddoesdnotdhavedtodbecomedadmultinationaldenterprisedtodengagedindinternationaldbusiness.
True False
25. Managingdandinternationaldbusinessdisdmuchdeasierdthandmanagingdaddomesticdbusiness.
True False
MultipledChoicedQuestions
26. Thedshiftdtowarddadmoredintegrateddanddinterdependentdworlddeconomydisdreferreddtodas .
A. outsourcing
B. internationaldmarketing
C. privatizatiod
n
D. globalizatiod
n
27. Ind2008dandd2009,dthe
becamedthedforumdthoughdwhichdmajordnationsdattempteddtodlaunchdad
coordinateddpolicydresponsedtodthedglobaldfinancialdcrisis,dwhichdstarteddindAmerica.
A. GATT
B. GroupdofdTend(G20)
C. GroupdofdTwentyd(G20)
D. WorlddTradedOrganization
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HilldEducation.
, 28. ThedUruguaydRounddprovided:
A. reduceddprotectiondfordpatents,dtrademarks,danddcopyrights.
B. enhanceddprotectiondfordpatents,dtrademarks,dandd
copyrights.
C. increaseddtradedbarriers.
D. reduceddcoveragedofdservicesdanddmanufactureddgoods.
29. Sincedthedcollapsedofdcommunism datdthedenddofdthed1980s,dthederstwhiledcommunistdnationsdhaved
transformeddtheirdeconomiesdbydglobalizingdtheirdmarkets.dThisdinvolves .
A. regulatingdmarkets
B. privatizingdstate-owneddenterprises
C. decreasingd
competition
D. reducingdforeigndinvestment
30. Whichdofdthedfollowingdisdadconsequencedofdglobalization?
A. Decreasingdinterdependencedbetweendnationald
economies
B. Increasingdoutsourcingdofdservices
C. Differentiationdofdmaterialdculture
D. Increasedindbarriersdtodcross-borderdtrade
31. Whichdofdthedfollowingdhasdenableddglobalizationdofdmarkets?
A. Marginalddifferentiationdamongdnationaldmarkets
B. Fallingdbarriersdtodcrossdborderdtrade
C. Reduceddhomogeneitydofdmaterialdculturedacrossdthedworld
D. Increaseddgovernmentdownershipdofdfactorsdofdproduction
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HilldEducation.
