SUMMATIVE TEST Flashcards
(155 cards)
1
Q
Globalization refers to:
A
A more integrated and interdependent world
2
Q
Which one of the following is a push factor in emigration
A
War
3
Q
Which of the following do NOT facilitate globalization?
A
Barriers to trade and investment
4
Q
Which of the following constitutes Foreign Direct Investment? *
A
A UK energy company buying territory abroad where it expects to find oil reserves
5
Q
. Which of the following could be defined as a multinational company?
A
A firm owning a chain of supermarket outlets outside its country of origin
6
Q
Which of the following is a driver of globalization? *
A
Technological advance
7
Q
Globalization is beneficial for firms because: *
A
It opens up new market opportunities
8
Q
The internet facilitates globalization by: *
A
Cutting the cost for firms of communicating across borders
9
Q
What might western food MNCs encounter when launching operations in Africa or the Middle East?
A
. Corruption
10
Q
Globalization can create problems for business because:
A
It can result in more competition
11
Q
The past two decades of globalization has seen rapid movements in
A
Goods, services and investments between countries
12
Q
The most common route for investments by MNCs in countries around the world is to: *
A
Buy existing local companies
. Set up new factories
13
Q
Globalization has led to higher standards of living o
A
Well-off consumers
14
Q
A company that owns or controls production in more than one nation is called:
A
Multinational corporation
15
Q
Where do MNCs choose to set up production?
A
Cheap labor resources
16
Q
. Trade between countries: *
A
Determines prices of products in different countries
17
Q
Globalization by connecting countries leads to:
A
Greater competition among producers
18
Q
One major factor that has stimulated the globalization process is:
A
Rapid improvement in technology
19
Q
If tax is imposed on Chinese toys, what will happen?
A
Indian toy-makers will prosper
20
Q
Which out of the following is an example of a trade barrier? *
A
Tax on imports
21
Q
Removing barriers or restrictions set by the government is called:
A
Liberalization
22
Q
WTO aims at:
A
Liberalizing international trade
23
Q
Which out of the following industries has a large number of well-off buyers in urban areas? *
A
Automobiles
24
Q
. Globalization has created new opportunities of:
A
A. Employment B. Emerging multinationals C. Providing services D. All of the above (D)
25
One major government initiative to attract foreign companies to invest in India is: *
To build special economic zones
26
Globalization has posed major challenges for:
Small producers
27
With the growing competition, most employers these days prefer to employ workers: *
Flexible
28
. Globalization opportunities for paid work for women has denied them: *
Permanent job
29
Fair globalization would mean
```
A. Fair opportunities for all
B. Fair benefits for all
C. More support to small producers
D. All of the above
DDD
```
30
. Government can make globalization more ‘fair’ by:
Implementing the labor laws
31
TRUE OR FALSE Globalization refers to the shift toward a more integrated and interdependent world economy *
TRUE
32
TRUE OR FALSE
| Tastes and preferences of consumers in different nations are beginning to converge on some global norm. *
TRUE
33
TRUE OR FALSE
| . A company has to be a major multinational corporation to facilitate, and benefit from, the globalization of markets. *
FALSE
34
TRUE OR FALSE
| . In Germany, 98 percent of small and midsize companies have exposure to international markets. *
A. TRUE
35
TRUE OR FALSE
Currently, the most global of markets are for industrial goods and materials that serve a universal need the world over. *
A. TRUE
36
TRUE OR FALSE
| As firms follow each other around the world, greater diversity replaces uniformity *
B. FALSE
37
TRUE OR FALSE
Substantial impediments such as barriers to foreign direct investment make it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe *
TRUE
38
TRUE OR FALSE
| GATT stands for the General Agreement on Tariffs and Trade *
A. TRUE
39
TRUE OR FALSE
| . As of 2008, 149 nations, which collectively accounted for 90 percent of world trade, were WTO members *
B. FALSE
40
TRUE OR FALSE
| The United Nations and the World Bank were both created in 1944 by 44 nations that met at Breton Woods, New Hampshire *
B. FALSE
41
What is the role of the IMF?
It observes world exchange rates, balance of payments and multilateral payments
42
. What is the IMF’s primary objective? *
. The overall promotion of world trade
43
The functions of the International Monetary Fund include all of the following except:
To serve as the world central bank
44
What was the agreement for Bretton Woods System? *
```
A. Fixed Exchange Rate
B. US Dollar as reserve currency
C. US dollar was pegged to gold at $35 an ounce
D. All of the above
DDD
```
45
Which were the two institutions that were instituted during the Bretton Woods System era?
International Monetary Fund and World Bank
46
What international institution was not part of the Bretton Woods system at its creation?
The United Nations
47
In 1995 the GATT became *
. The World Trade Organization (WTO)
48
What can be seen as both a “reaction against” and a “product of” globalization? *
A. Nationalism
49
The process by which a state interacts with the global system of states is called *
B. . The foreign policy process
50
Nationalism has served as an important component of state building and for the formation of __________ within societies. *
B. A common identity and consciousness.
51
The government officials who use mass culture and mass media to send messages are: *
D. . “Conducting public diplomacy.”
52
The World Bank was originally the International Bank of Reconstruction and Development that was initially tasked with which of the following? *
A. Facilitating private investment and reconstruction
53
The WTO replaced which organization *
C. GATT
54
. In 1947 which organization became the forum for negotiations on trade liberalization? *
B. GATT
55
are becoming increasingly important in the development and codification of international legal norms *
Nation-States
56
The International Court of Justice is based in: *
B. . The Hague, the Netherlands
57
The Organization of American States (OAS) and the Association of Southeast Asian Nations (ASEAN) are examples of *
B. Regional organizations
58
International law is an example of a/an: *
International organization
59
At the International Court of Justice *
A. States may sue states
60
The government policy of discouraging imports through the imposition of tariffs and non-tariff barriers is called: *
B. Protectionism
61
TRUE OR FALSE
| . Global income inequality is decreasing between rich and poor countries *
FALSE
62
TRUE OR FALSE
| World Bank definitions of poverty initially valued social well-being over material standards. *
FALSE
63
TRUE OR FALSE
| A "New World Social Contract" is currently being implement by the IMF and World Bank. *
FALSE
64
TRUE OR FALSE
| Regions are considered open when the member countries are democracies *
FALSE
65
TRUE OR FALSE
| Globalization has often been accompanied by decreased levels of debt, poverty, and exclusion *
FALSE
66
TRUE OR FALSE
| International organizations are exclusively for states. *
FALSE
67
TRUE OR FALSE
| Greenpeace is an intergovernmental organization *
FALSE
68
TRUE OR FALSE
| . The North American Free Trade Agreement is an example of a regional organization. *
FALSE
69
TRUE OR FALSE
| The “Clash of Globalizations” is between corporations and social movements. *
FALSE
70
TRUE OR FALSE
A positive implication of diversity in the global era is the appropriation of cultural customs, clothes, and jewellery. *
FALSE
71
TRUE OR FALSE
| . Democracy is a component of a state. *
FALSE
72
TRUE OR FALSE
| There has been a globalization of culture. *
TRUE
73
TRUE OR FALSE
| In the era of globalization, many different kinds of cultural flows transcend borders. *
TRUE
74
TRUE OR FALSE
| Bretton Woods was an explicitly United States-centered system. *
TRUE
75
TRUE OR FALSE
Regionalization enhances interdependence, which in turn makes weaker partners more vulnerable to the demands of the stronger partner. *
TRUE
76
TRUE OR FALSE
| The urbanization of poverty is expected to increase *
TRUE
77
TRUE OR FALSE
| . The United Nations is the only universal governance system. *
FALSE
78
TRUE OR FALSE
| The United States never became a member of the League of Nations *
TRUE
79
TRUE OR FALSE
| The victims of terrorism are not the primary target of the violence. *
TRUE
80
TRUE OR FALSE
| Peru has accepted the NAFTA model of regionalization. *
TRUE
81
A migrant is: *
C. Moves to a new country in search of better economic opportunities
82
feel that international exchange is shaped by exploitation of labour and resources; economic interests drive political policies. *
A. Socialists
83
In the world system, extraction regions are called the: *
A. Periphery
84
In Marxist terminology, workers who must sell their labour power in order to survive are referred to as : *
D. The Proletariat
85
The newly independent state of El Salvador was oriented toward the primary export of *
A. Coffee
86
. In the world-system, the regions which mostly manufacture goods are referred to as the: *
C. Core
87
The class of people in Marxist analysis who usually see the world from the perspective of the rich, but sometimes advocate for the poor is the : *
D. Intellectuals
88
. Which international organization has helped women in the global South obtain loans on favourable terms to start up businesses? *
D. UNICEF
89
The _____ consists of European Community member state leaders and meets twice a year, whereas the _____ adjudicates disputes that arise under EU law. *
D. European Council, Court of Justice
90
. A unified set of tariffs with regard to imports occurs: *
A. A Customs Union
91
Which country is a member of the Andean Common Market? *
D. Peru
92
. The institution which implements the policies of the EU is the: *
A. European Commission
93
The institution which makes the major policy decisions of the EU is the: *
B. Council of Ministers
94
The Single European Act called for the creation of a common market in Europe by the end of *
C. 1992
95
The European Free Trade Association: *
C. Includes EU members and four non-EU members
96
The integration of similar facts and ideas on an international basis that is being facilitated by the telecommunications revolution is leading to the phenomenon of a: *
A. Global culture
97
. It is the process of political integration following economic integration for practical purposes. *
B. Spillover
98
The all-news satellite TV network, Al Jazeera, is based in which Middle Eastern state? *
A. Qatar
99
Which of the following is not a member of the G-7 states? *
D. The Netherlands
100
. The state in which an MNC has its headquarters is called the: *
A. Home country
101
The Exchange Rate Mechanism is: *
C. An attempt by the European Union to approximate fixed exchange rates
102
Between World War II and the 1970s, what type of exchange rates existed in the international economic system? *
A. Fixed
103
________policy is government decisions about spending and taxation. *
C. Fiscal
104
. Currency speculators sold off the currency of ______ and other countries that created the 1997 Asian financial crisis. *
A. Indonesia
105
. A ______ is responsible for maintaining the value of a state's currency to the extent that it can by limiting the amount of money printed and avoiding inflation. *
C. Central bank
106
What type of currency can be readily converted to leading world currencies? *
B. Hard currency
107
What institution coordinates international currency exchange, the balance of international payments, and serves as a lender of last resort? *
C. International Monetary Fund
108
When governments spend more than they take in to stimulate economic growth, it is called: *
A. Deficit spending
109
A unilateral move to reduce the value of one's own currency by changing a fixed or official exchange rate is known as: *
C. Devaluation
110
. Which country is a member of the Group of 20 (G-20)? *
A. South Africa
111
TRUE OR FALSE
| Global income inequality is decreasing between rich and poor countries *
B. FALSE
112
TRUE OR FALSE
| World Bank definitions of poverty initially valued social well-being over material standards. *
B. FALSE
113
TRUE OR FALSE
| A "New World Social Contract" is currently being implement by the IMF and World Bank. *
B. FALSE
114
TRUE OR FALSE
| Regions are considered open when the member countries are democracies *
B. FALSE
115
TRUE OR FALSE
| EPAs are Environmental Protection Agencies of the NAFTA countries *
B. FALSE
116
TRUE OR FALSE
| Globalization has often been accompanied by decreased levels of debt, poverty, and exclusion. *
B. FALSE
117
TRUE OR FALSE
| International organizations are exclusively for states. *
B. FALSE
118
TRUE OR FALSE
| . Greenpeace is an intergovernmental organization *
B. FALSE
119
TRUE OR FALSE
| The North American Free Trade Agreement is an example of a regional organization. *
B. FALSE
120
Economic liberalism claims the key actors in the economy are: *
C. Individual households and firms
121
All of the following except one represents an increasing integration in globalization: *
D. Morals
122
Globalization could not exist without *
B. A common religion
123
The growth in global communication has: *
B. Meant people now rely on different sources for the news
124
. Economic interchange and interdependence is *
B. A phenomenon that affects individuals in everyday life
125
It is the process of expanding globalism and refers to the increasing integration of economics, communications and culture across national bounderies. *
B. Globalization
126
Advances in what have rapidly expanded the speed with which merchandise, money, people, information and ideas move over long distances? *
B. Technology
127
The Bretton Woods Institutions include: *
B. The World Bank
128
All of the following are examples of the benefits of globalization EXCEPT *
C. Globalization is the latest stage of Western Imperialism
129
Resistance to the adoption of a common culture is : *
B. Widespread.
130
Transnationalism results from all of the following except *
C. increased state sovereignty
131
. Which of the following concepts is used to describe individuals who adopt a political identification that does not focus on the nation-state? *
C.Transnationalism
132
Organizations that operate across national boundaries and whose membership is composed of individuals is known as : *
B. NGO
133
Which of the following perspectives of globalization is most likely to reflect the views of economists? *
C. The growth of international trade and the increase in international trade flows
134
Used to describe the increasing geographical relocation of production processes on a global scale by multinationals *
C. Deep integration
135
., Which of the following admit that there is considerable uncertainty as to what the outcomes of globalization might be in recognizing that globalization is a powerful force. *
C. Transformationalists
136
They see globalization as inevitably resulting in global capitalism, global governance and global civilization *
D. Hyperglobalists
137
Identify of what is being defined. Answers should be in CAPITALIZED LETTERS: 21. A process in which consumers, organizations, and governments are increasingly interconnected across national borders *
GLOBALIZATION
138
Responsible for 'policing' and negotiating the world trading system *
WORLD TRADE ORGANIZATION
139
It is the removal or reduction of restrictions or barriers on the free exchange of goods between nations. *
TRADE LIBERALIZATION
140
A change to private ownership of state-owned companies and industries *
PRIVATIZATION
141
An investment made by a firm or individual in one country into business interests located in another country *
FOREIGN DIRECT INVESTMENT
142
The process of greater interdependence among countries and their citizens political, technological, and cultural, as well as economic *
GLOBALIZATION
143
The process of greater interdependence among countries and their citizens (political, technological, economically, culturally) *
GLOBALIZATION
144
The ability to produce a good at a lower opportunity cost than another producer. *
COMPARATIVE ADVANTAGE
145
The ability of country to produce a given product more efficiently than another country. *
ABSOLUTE ADVANTAGE
146
TRUE/FALSE : 41. Globalization refers to the shift toward a more integrated and interdependent world economy *
TRUE
147
TRUE/FALSE :
| . Tastes and preferences of consumers in different nations are beginning to converge on some global norm. *
TRUE
148
TRUE/FALSE :
| A company has to be a major multinational corporation to facilitate, and benefit from, the globalization of markets. *
FALSE
149
TRUE/FALSE :
Currently, the most global of markets are for industrial goods and materials that serve a universal need the world over *
TRUE
150
TRUE/FALSE :
| As firms follow each other around the world, greater diversity replaces uniformity *
FALSE
151
TRUE/FALSE :
Substantial impediments such as barriers to foreign direct investment make it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe. *
TRUE
152
TRUE/FALSE :
| 7. As of 2008, 149 nations, which collectively accounted for 90 percent of world trade, were WTO members *
FALSE
153
TRUE/FALSE :
| The United Nations and the World Bank were both created in 1944 by 44 nations that met at Breton Woods, New Hampshire. *
FALSE
154
TRUE/FALSE :
After World War I, the advanced nations of the West committed themselves to removing barriers to the free flow of goods, services, and capital between nations *
FALSE
155
TRUE/FALSE :
| The media has had an insignificant role in promoting a common culture. *
FALSE
