PRE-ASSESSMENT: GLOBAL ECONOMICS FOR MANAGERS (UZC2). WGU C211. Correct Answers Only.

A company is looking for a location with an abundance of ground-breaking individuals, firms, and universities. Which type of strategic goal is this company demonstrating? - Innovation-seeking A farmer sells wheat in a perfectly competitive market. Which action should the farmer take to maximize profits? - Produce the quantity where the price equals the farmer's marginal cost A nation ends a tariff on bananas, which is an imported product. What will be the effect on banana prices within that nation? - The price will match the global market price. A painter spends $200 on paint. He then bills the homeowner $1,000 to cover his time and his expenses. What is the amount of these transactions that is added to gross domestic product (GDP)? - $1,000 A U.S. state purchases a fleet of new highway patrol vehicles manufactured in Japan. Which two statements correctly describe how the components of U.S. gross domestic product (GDP) are affected? Choose 2 answers - Net exports decrease. Government expenditures increase. Economic gains come from international trade because one country's exported goods, services, or other items are unique, valuable, and difficult to duplicate to the importing countries - Resource-based view How does the prisoner's dilemma help in understanding company behavior in an oligopoly? - Company strategies must consider actions by rival firms. How is consumer surplus represen