question

The __ was created in 1944 by 44 nations that met in Breton Woods, NH to promote economic development

answer

World Bank

question

The stock of foreign direct investment refers to

answer

the total cumulative value of foreign investments

question

which of the following is not a characteristic of globalization

answer

national economies are turning into self-contained economic systems

question

which of the following actions was implemented in the uruguay round, finalized in december 1993

answer

establishment of the world trade center

question

which of the following factors contributing to the great depression of the 1930s

answer

countries progressively raised trade barriers against each other

question

globalization critics argue that the decline in unskilled wage rates is due to the

answer

migration of low-wage manufacturing jobs offshore

question

globalization has enabled organizations to reduce their costs of production by __

answer

setting up manufacturing units in developing countries

question

at the doha round of the world trade organization in late 2001, an agenda was established to

answer

phase out subsidies to agricultural producers

question

an international business is any firm that engages in international trade or investment

answer

true

question

one concern frequency voicedby those opposed to globalization is that falling barrier to international trade destroy manufacturing jobs in wealthy advanced economies such as the united states and western europe

answer

true. wages

question

country differences have no effect on the way an international firm conducts its business around the globe

answer

false

question

__ the lender of the last resort

answer

international monetary fund

question

If the Doha talks are ever completed, the biggest gain may come from discussion on agricultural products. The world's poorer nations have the most to gain from any reduction in agricultural tariffs and subsidies; such reforms would give them access to the markets of the developed world.

answer

true

question

what has revolutionized the transportation business, significantly lowering the costs of shipping goods over long distances

answer

containerization

question

_

answer

_

question

which of the following statements pertaining to changes in the global economy of the 21st century is true

answer

the world is moving toward an economic system that is more favorable for international business

question

the World Bank has focused on making low-interest loans to cash-strapped governments in poor nations that wish to undertake significant infrastructure investments (such as building dams or roads).

answer

true

question

globalization resulted in a decrease in non- US firms' investment across national borders

answer

false

question

the __ committed themselves to achieving socialism without resorting to violent revolution and dictartorship

answer

social democrats

question

which of the following statements is true about trademarks

answer

trademarks are designs and names by which bus

question

which of the following statements is true about trademarks?

answer

trademarks are designs and names by which businesses differentiate their products

question

which of the following philosophies can be traced back to the ancient greek philosopher plato

answer

collectivism

question

the role of the government in a market economy involves

answer

encouraging vigorous and fair competition among private producers

question

__ is the extortion of income or resources of property holders by public officials such as politicians and government bureaucrats

answer

public action

question

in the early twentieth century, the socialist ideology split into two broad camps, communist and social democrats

answer

true

question

violation of civil liberty laws can result in imprisonment

answer

true

question

a civil law system tends to be more adversarial than a common law system

answer

false

question

contracts drafted under a common law framework tend to be

answer

very detailed with contingencies spelled out

question

a legal system based on religious teachings is called a

answer

theocratic law system

question

since the demise of command economies has of communism in the late 1980's, the number of command economies has risen dramatically

answer

false

question

__ refers to a philosophy that a person should have freedom in his or her economic and political pursuits

answer

individualism

question

in pure command economy

answer

all businesses are owned by the state

question

historically, command economies were found in __, where collectivist goals were given priority over idividual goals

answer

communist countries

question

which of the following is a feature of the right-wing totalitarianism

answer

provison of partial individual economic freefom along with restricted individual political freedom

question

a common feature of many right-wing dictatorships is that they support socialist or communist ideas

answer

false

question

the common law system

answer

is based on tradition, precedent, and custom

question

in a market economy, a supply restriction occurs when a single firm monopolizes a market

answer

true

question

amazon.com was the earliest, major online bookstore, which allowed it to generate brand awareness and have a significant presense in the market. Amazon.com had a head start on a later entrants to the online bookstart market. In this example, amazon,com has

answer

first-mover advantages

question

during the late 1980s and early 1990s a wave of democratic revolutions swept the world

answer

true. communism

question

it can be more costly to do business in a country where there are no laws and regulations with regard to product safety

answer

false

question

which of the following exemplifies privitization?

answer

a country sells its postal services to a consortium of companies that runs it as a profit making venture without any state funding

question

entrepreneurs receive more incentives to innovate in a planned economy as compared to a market economy

answer

false

question

purchasing power parity adjustment allows for

answer

a more direct comparison of living standards in different countries

question

in the case of command economies, deregulation involves __

answer

removing price controls

question

all of the following are reasons that would account for the spread of democracy except

answer

the unchallenged pressure of entreprenuers and other business leaders for less accountable and closed governments

question

deregulation involves the establishment and operation of private enterprises

answer

true

question

gni per person figures can be misleading because they don't consider the cost of living

answer

true

question

the newly privatized entities often have little incentive to restructure their operations to become more efficient when

answer

they continue to receive subsidies from the state

question

in calculating gni data in some countries, the official figures takes into account the barter agreements that take place as part of daily business transactions

answer

false

question

innovation and entrepreneurial activity help increaes economic activity

answer

by creating new products and markets

question

united nations has developed the human development index to measure the

answer

quality of human life in different nations

question

which of the following is true about economic risks of doing business in a country

answer

the inflation rate in a country is an indicator of the economic risks of doing business in a country

question

which of the following is true about property rights

answer

they must be strongly protected to promote economic growth

question

in samuel huntington's thesis, global terrorism is a product of __

answer

the clash of value systems and idealogy

question

which of the following is true about planned economies

answer

in a planned economy, the state owns all means of productopm

question

a murdarabah contract of islamic banks is similar to a profit-sharing scheme

answer

true

question

people who violate folkways are considered to be evil or bad

answer

false

question

which of the following is a disadvantage of a high degree of managerial mobility between companies

answer

lack of loyalty and commitment to and individual company

question

which of the following statements is true about caste system

answer

a caste system is a rigid form of social stratification

question

the belief in the superoirity of one's own culture is known as

answer

ethnocentrism

question

values are

answer

abstract ideas about what group believes to be good, right, and desirable

question

most of the world's ethical systems are the product of religions

answer

true

question

hofstede's masculinity versus femininity dimension examined

answer

the relationship between gender and work roles

question

what is the most widely practiced religion in the world

answer

christianity

question

which of the following aspects of Protestantism paved the way for the subsequent emphasis on individual economic and political freedoms

answer

the emphasis on individual religious freedom

question

it has been argued that the success of Japanese enterprises in the global economy has been based partly on all of the following except

answer

the high degree of managerial mobility between companies

question

folkways

answer

the routine conventions of everyday life

question

the value systems and norms of a country have little influence on the costs of doing business in that country

answer

false

question

according to max weber

answer

devout hindus would be less likely to engage in entrepreneurial activity than devout protestants

question

the group is the primary unit of organization in western societies

answer

false

question

entrepreneurs and business-owners f high uncertainty avoidance cultures will be more willing to take risks and make changes

answer

false

question

according to the findings of the world values survey

answer

as countries get richer, there seems to be a shift from survival values to well-being vaues

question

what is a concept of understanding how cultural differences across and within nations can affect the way business is conducted

answer

cross-cultural literacy

question

Which of the following is a closed system of stratification in which social position is determined by the family into which a person is born, and change in that position is usually not possible during an individual's lifetime?

answer

Caste system

question

Which of the following helps in adjusting GNI such that it accounts for the differences in the cost of living?

answer

Purchasing power parity (PPP) adjustment

question

The overall attractiveness of a country as a potential market or investment site for an international business depends on balancing the benefits, costs, and risks associated with doing business in that country.

answer

True

question

In a(n) _____ economy the government plans the goods and services that a country produces, the quantity in which they are produced, and the prices at which they are sold.

answer

command

question

Which of the following statements is true about the murabaha contract?

answer

The murabaha contract is widely used among the world's Islamic banks because it is the easiest to implement.

question

Norms refer to:

answer

the social rules and guidelines that prescribe appropriate behavior in particular situations.

question

The communists believed that socialism could be achieved by democratic means, and turned their backs on violent revolution and dictatorship.

answer

False

question

A _____ is a less rigid form of social stratification in which social mobility is possible.

answer

class system

question

Plato, to whom the advocacy of collectivism is traced back, did not equate collectivism with equality.

answer

True

question

An upper-middle-class manager tends to have a hostile relationship with the working-class employees in the firm because of his tendency to perceive himself as superior to them based on his class background. In this example, the manager exhibits:

answer

class consciousness.

question

New information and communication technologies have enabled the spread of democratic ideals.

answer

True

question

Which of the following refers to the extent to which individuals can move out of the strata into which they are born?

answer

Social mobility

question

In several Western democracies, the poor performance of state-owned enterprises, because of protection from competition and guaranteed government financial support, led to _______.

answer

privatization

question

Some totalitarian regimes have fostered a market economy and strong property rights protection and have experienced rapid economic growth.

answer

True

question

An antagonistic relationship between management and labor classes may result in lower costs of production.

answer

False

question

Like Christianity and Judaism, Islam is a polytheistic religion.

answer

False

question

Economic growth appears to be a function of a country's capacity for growth and ___________.

answer

its free market system

question

Outsourcing is a process that is limited to manufacturing enterprises.

answer

False

question

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.

answer

World Trade Organization

question

The most global markets currently are markets for consumer products.

answer

False

question

The most rigid system of stratification is a class system.

answer

False

question

A change in political regime in a country can result in laws that _____ to international businesses.

answer

are less favorable

question

Democracy is one of the consequences of economic growth and progress.

answer

True

question

Managing an international business is much easier than managing a domestic business.

answer

False

question

All of the following are key components of a country's legal system except:

answer

establishing a mixed economy.

question

Modern socialists trace their intellectual roots to Karl Marx (1818-83), although socialist thought clearly predates Marx.

answer

True

question

The World Bank has focused on policing the world trading system and making sure nation-states adhere to the rules laid down in trade treaties.

answer

False

question

Since the collapse of communism at the end of the 1980s, the erstwhile communist nations have transformed their economies by globalizing their markets. This involves ____.

answer

privatizing state-owned enterprises

question

Most property in poor countries is owned legally by investors.

answer

False

question

Social rules and guidelines that prescribe appropriate behavior in particular situations are best described as:

answer

norms.

question

A domestic business must find ways to work within the limits imposed by governmental intervention in the international trade and investment system.

answer

False

question

The World Trade Organization promotes ____.

answer

lowering of barriers to cross-border trade and investment

question

Cross-cultural literacy refers to:

answer

an understanding of how cultural differences can affect business.

question

The finance minister of a country considers several large, state-owned iron manufacturing units to be inefficient and a source of corruption. To generate resources for public expenditure and promote economic growth, the government decides to auction an entire iron manufacturing plant to sell it to a strategic investor. This process exemplifies ____.

answer

privatization

question

It is possible to have a democratic political system that emphasizes a mix of collectivism and individualism.

answer

True

question

Guanxi is an important mechanism for building long-term business relationships and getting business done in China.

answer

True

question

The ________ believed that socialism could be achieved only through violent revolution and totalitarian dictatorship.

answer

communists

question

Violation of property rights done through legal mechanisms such as levying excessive taxation and requiring expensive licenses or permits from property holders is called _______.

answer

public action

question

The likelihood that a trading partner will opportunistically break a contract or expropriate property rights is called a(n) ____.

answer

legal risk

question

Interdependent political, economic, and legal systems of a country make up its:

answer

political economy.

question

Max Weber thought that devout Hindus would be less likely to engage in entrepreneurial activity than devout Protestants.

answer

True

question

The sale of state assets through an auction is most likely to lead to ____.

answer

privatization

question

Political scientist Samuel Huntington predicts that there will be a more harmonious world dominated by a universal civilization characterized by democratic regimes and free market capitalism.

answer

False

question

A class system is a rigid form of social stratification in which the position a person has by birth cannot be changed through his/her own achievements or luck. True

answer

False

question

Which of the following is a consequence of globalization?

answer

Increasing outsourcing of services

question

GNI per person figures can be misleading because ____.

answer

they don't consider differences in the cost of living

question

For privatization to work, it must also be accompanied by:

answer

a general deregulation of the economy.

question

Judges under a civil law system have more flexibility than those under a common law system.

answer

False

question

The parties to an agreement normally resort to contract law when one party feels the other has violated either the letter or the spirit of an agreement.

answer

True

question

One visible indicator of political risks tends to be a country's inflation rate.

answer

False

global business 1-4 – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards