TestgBankgforgEssentialsgofgOrganizationalgBehavior,g15thgEdition”gbygStephen
P.gRobbinsg&gTimothygA.gJudge.
1.1 WhatgIsgInternationalgEconomicsgAbout?
1) Historiansgofgeconomicgthoughtgoftengdescribeg writtengby andgpublishedgin
asgthegfirstgrealgexpositiongofgangeconomicgmodel.
A) "OfgthegBalancegofgTrade,"gDavidgHume,g1776
B) "WealthgofgNations,"gDavidgHume,g1758
C) "WealthgofgNations,"gAdamgSmith,g1758
D) "WealthgofgNations,"gAdamgSmith,g1776
E) "OfgthegBalancegofgTrade,"gDavidgHume,g175
8gAnswer:g E
PagegRef:g29gDifficu
lty:g Easy
2) Fromg1950gtog2015
A) thegU.S.geconomygroughlygtripledgingsize.
B) U.S.gimportsgroughlygtripledgingsize.
C) thegsharegofgU.S.gtradegingthegglobalgeconomygroughlygtripledgingsize.
D) U.S.gimportsgroughlygtripledgasgcomparedgtogU.S.gexports.
E) U.S.gexportsgroughlygtripledgingsize
.gAnswer:g C
PagegRef:g29gDifficu
lty:g Easy
3) ThegUnitedgStatesgisglessgdependentgongtradegthangmostgothergcountriesgbecause
A) thegUnitedgStatesgisgagrelativelyglargegcountrygwithgdiversegresources.
B) thegUnitedgStatesgisgag"Superpower."
C) thegmilitarygpowergofgthegUnitedgStatesgmakesgitglessgdependentgonganything.
D) thegUnitedgStatesginvestsgingmanygothergcountries.
E) manygcountriesginvestgingthegUnitedgStates
.gAnswer:g A
PagegRef:g30gDifficu
lty:g Easy
4) Theoriesgofginternationalgeconomicsgfromgtheg18thgandg19thgcenturiesgare
A) notgrelevantgtogcurrentgpolicyganalysis.
B) onlygofgmoderategrelevancegingtoday'sgmodernginternationalgeconomy.
C) highlygrelevantgingtoday'sgmodernginternationalgeconomy.
D) thegonlygtheoriesgthatgaregactuallygrelevantgtogmodernginternationalgeconomy.
E) notgwellgunderstoodgbygmoderngmathematicallygorientedgtheorists
.gAnswer:g C
PagegRef:g30gDifficu
lty:g Easy
1
Copyrightg©g2018gPearsongEducationgLtd
.
,5) Angimportantginsightgofginternationalgtradegtheorygisgthatgwhengtwogcountriesgengagegi
ngvoluntarygtrade
A) onegcountrygalwaysgbenefitsgatgthegexpensegofgthegother.
B) itgisgalmostgalwaysgbeneficialgtogbothgcountries.
C) itgonlygbenefitsgtheglowgwagegcountry.
D) itgonlygbenefitsgtheghighgwagegcountry.
E) itgisgalmostgnevergbeneficialgtogbothgcountries
.gAnswer:g B
PagegRef:g32gDifficu
lty:g Easy
6) Ifgtheregareglargegdisparitiesgingwageglevelsgbetweengcountries,gthen
A) tradegisglikelygtogbegharmfulgtogbothgcountries.
B) tradegisglikelygtogbegharmfulgtogthegcountrygwithgtheghighgwages.
C) tradegisglikelygtogbegharmfulgtogthegcountrygwithgtheglowgwages.
D) tradegisglikelygtogbegharmfulgtogneithergcountry.
E) tradegisglikelygtoghavegnogeffectgongeithergcountry
.gAnswer:g D
PagegRef:g32gDifficu
lty:g Easy
7) Thegbenefitsgofginternationalgtradegaregderivedgfromgtradegin
A) tangibleggoodsgonly.
B) intangibleggoodsgonly.
C) goodsgbutgnotgservices.
D) servicesgbutgnotggoods.
E) anythinggofgvalue
.
Answer:g E
PagegRef:g32gDifficu
lty:g Easy
8) WhichgofgthegfollowinggdoesgNOTgbelong?
A) NAFTA
B) UruguaygRound
C) WorldgTradegOrganization
D) non-tariffgbarriers
E) majorgfreegtradegagreementsgofgtheg1990
sgAnswer:g D
PagegRef:g34gDifficu
lty:g Easy
2
Copyrightg©g2018gPearsongEducationgLtd
.
,9) Internationalgeconomicsg
usegthegsamegfundamentalgmethodsgofganalysisgasgothergbranchesgofgeconomics,gbecauseg
.
A) doesgnot,gtheglevelgofgcomplexitygofginternationalgissuesgisgunique
B) doesgnot,gtheginteractionsgassociatedgwithginternationalgeconomicgrelationsgisghighl
ygmathematical
C) doesgnot,ginternationalgeconomicsgtakesgagdifferentgperspectivegongeconomicgissues
D) doesgnot,ginternationalgeconomicgpolicygrequiresgcooperationgwithgothergcountries
E) does,gthegmotivesgandgbehaviorgofgindividualsgaregthegsameginginternationalgtradegasgtheygaregi
ngdomesticgtransactions
Answer:g Eg Pag
egRef:g31gDiffic
ulty:g Easy
10) BecausegthegConstitutiongforbidsgrestraintsgonginterstategtrade
A) thegU.S.gmaygnotgimposegtariffsgongimportsgfromgNAFTAgcountries.
B) thegU.S.gmaygnotgaffectgtheginternationalgvaluegofgtheg$gU.S.
C) thegU.S.gmaygnotgputgrestraintsgongforeignginvestmentsgingCaliforniagifgitginvolvesgagfinanci
algintermediarygingNewgYorkgState.
D) thegU.S.gmaygnotgimposegexportgduties.
E) thegU.S.gmaygnotgdisruptgcommercegbetweengFloridagandgHawaii
.gAnswer:g E
PagegRef:g32gDifficu
lty:g Easy
11) WhichgofgthegfollowinggisgNOTgagmajorgconcerngofginternationalgeconomicgtheory?
A) protectionism
B) thegbalancegofgpayments
C) exchangegrategdetermination
D) bilateralgtradegrelationsgwithgChina
E) theginternationalgcapitalgmarket
gAnswer:g D
PagegRef:g32gDifficu
lty:g Easy
12) "Tradegisggenerallygharmfulgifgtheregareglargegdisparitiesgbetweengcountriesgingwages."
A) Thisgisggenerallygtrue.
B) Thisgisggenerallygfalse.
C) Tradegtheoryghasgnothinggtogsaygaboutgthisgissue.
D) Thisgisgtruegifgthegtradegpartnergignoresgchildglaborglaws.
E) Thisgisgtruegifgthegtradegpartnergusesgprisonglabor
.gAnswer:g B
PagegRef:g32gDifficu
lty:g Easy
3
Copyrightg©g2018gPearsongEducationgLtd
.
, 13) Whogsellsgwhatgtogwhom
A) hasgbeengagmajorgpreoccupationgofginternationalgeconomics.
B) isgnotgagvalidgconcerngofginternationalgeconomics.
C) isgnotgconsideredgimportantgforggovernmentgforeigngtradegpolicygsincegsuchgdecisionsgaregmad
egingthegprivategcompetitivegmarket.
D) isgdeterminedgbygpoliticalgrathergthangeconomicgfactors.
E) isglessgimportantgthanginternationalgeconomicgtheory
.gAnswer:g A
PagegRef:g33gDifficu
lty:g Easy
14) Theginsightgthatgpatternsgofgtradegaregprimarilygdeterminedgbyginternationalgdifferencesgi
nglaborgproductivitygwasgfirstgproposedgby
A) AdamgSmith.
B) DavidgHume.
C) DavidgRicardo.
D) EligHeckscher.
E) LernergandgSamuelson.
gAnswer:g A
PagegRef:g33gDifficu
lty:g Easy
15) AftergWorldgWargII,gthegUnitedgStatesghasgpursuedgagbroadgpolicygof
A) strengtheningg"FortressgAmerica"gprotectionism.
B) removinggbarriersgtoginternationalgtrade.
C) isolatinggIrangandgothergmembersgofgtheg"axisgofgevil."
D) protectinggthegU.S.gfromgthegeconomicgimpactgofgoilgproducers.
E) restrictinggtradegofgmanufacturedggoods.
gAnswer:g B
PagegRef:g34gDifficu
lty:g Easy
16) ThegbalancegofgpaymentsghasgbecomegagcentralgissuegforgthegUnitedgStatesgbecause
A) whengthegbalancegofgpaymentsgisgnotgbalanced,gsocietygisgunbalanced.
B) thegU.S.geconomygcannotggrowgwhengthegbalancegofgpaymentsgisgingdeficit.
C) thegU.S.ghasgrunghugegtradegdeficitsgingeverygyeargsinceg1982.
D) thegU.S.gnevergexperiencedgagsurplusgingitsgbalancegofgpayments.
E) thegU.S.goncegrangaglargegtradegsurplusgofgaboutg$40gbillio
n.gAnswer:g C
PagegRef:g35gDifficu
lty:g Easy
4
Copyrightg©g2018gPearsongEducationgLtd
.
P.gRobbinsg&gTimothygA.gJudge.
1.1 WhatgIsgInternationalgEconomicsgAbout?
1) Historiansgofgeconomicgthoughtgoftengdescribeg writtengby andgpublishedgin
asgthegfirstgrealgexpositiongofgangeconomicgmodel.
A) "OfgthegBalancegofgTrade,"gDavidgHume,g1776
B) "WealthgofgNations,"gDavidgHume,g1758
C) "WealthgofgNations,"gAdamgSmith,g1758
D) "WealthgofgNations,"gAdamgSmith,g1776
E) "OfgthegBalancegofgTrade,"gDavidgHume,g175
8gAnswer:g E
PagegRef:g29gDifficu
lty:g Easy
2) Fromg1950gtog2015
A) thegU.S.geconomygroughlygtripledgingsize.
B) U.S.gimportsgroughlygtripledgingsize.
C) thegsharegofgU.S.gtradegingthegglobalgeconomygroughlygtripledgingsize.
D) U.S.gimportsgroughlygtripledgasgcomparedgtogU.S.gexports.
E) U.S.gexportsgroughlygtripledgingsize
.gAnswer:g C
PagegRef:g29gDifficu
lty:g Easy
3) ThegUnitedgStatesgisglessgdependentgongtradegthangmostgothergcountriesgbecause
A) thegUnitedgStatesgisgagrelativelyglargegcountrygwithgdiversegresources.
B) thegUnitedgStatesgisgag"Superpower."
C) thegmilitarygpowergofgthegUnitedgStatesgmakesgitglessgdependentgonganything.
D) thegUnitedgStatesginvestsgingmanygothergcountries.
E) manygcountriesginvestgingthegUnitedgStates
.gAnswer:g A
PagegRef:g30gDifficu
lty:g Easy
4) Theoriesgofginternationalgeconomicsgfromgtheg18thgandg19thgcenturiesgare
A) notgrelevantgtogcurrentgpolicyganalysis.
B) onlygofgmoderategrelevancegingtoday'sgmodernginternationalgeconomy.
C) highlygrelevantgingtoday'sgmodernginternationalgeconomy.
D) thegonlygtheoriesgthatgaregactuallygrelevantgtogmodernginternationalgeconomy.
E) notgwellgunderstoodgbygmoderngmathematicallygorientedgtheorists
.gAnswer:g C
PagegRef:g30gDifficu
lty:g Easy
1
Copyrightg©g2018gPearsongEducationgLtd
.
,5) Angimportantginsightgofginternationalgtradegtheorygisgthatgwhengtwogcountriesgengagegi
ngvoluntarygtrade
A) onegcountrygalwaysgbenefitsgatgthegexpensegofgthegother.
B) itgisgalmostgalwaysgbeneficialgtogbothgcountries.
C) itgonlygbenefitsgtheglowgwagegcountry.
D) itgonlygbenefitsgtheghighgwagegcountry.
E) itgisgalmostgnevergbeneficialgtogbothgcountries
.gAnswer:g B
PagegRef:g32gDifficu
lty:g Easy
6) Ifgtheregareglargegdisparitiesgingwageglevelsgbetweengcountries,gthen
A) tradegisglikelygtogbegharmfulgtogbothgcountries.
B) tradegisglikelygtogbegharmfulgtogthegcountrygwithgtheghighgwages.
C) tradegisglikelygtogbegharmfulgtogthegcountrygwithgtheglowgwages.
D) tradegisglikelygtogbegharmfulgtogneithergcountry.
E) tradegisglikelygtoghavegnogeffectgongeithergcountry
.gAnswer:g D
PagegRef:g32gDifficu
lty:g Easy
7) Thegbenefitsgofginternationalgtradegaregderivedgfromgtradegin
A) tangibleggoodsgonly.
B) intangibleggoodsgonly.
C) goodsgbutgnotgservices.
D) servicesgbutgnotggoods.
E) anythinggofgvalue
.
Answer:g E
PagegRef:g32gDifficu
lty:g Easy
8) WhichgofgthegfollowinggdoesgNOTgbelong?
A) NAFTA
B) UruguaygRound
C) WorldgTradegOrganization
D) non-tariffgbarriers
E) majorgfreegtradegagreementsgofgtheg1990
sgAnswer:g D
PagegRef:g34gDifficu
lty:g Easy
2
Copyrightg©g2018gPearsongEducationgLtd
.
,9) Internationalgeconomicsg
usegthegsamegfundamentalgmethodsgofganalysisgasgothergbranchesgofgeconomics,gbecauseg
.
A) doesgnot,gtheglevelgofgcomplexitygofginternationalgissuesgisgunique
B) doesgnot,gtheginteractionsgassociatedgwithginternationalgeconomicgrelationsgisghighl
ygmathematical
C) doesgnot,ginternationalgeconomicsgtakesgagdifferentgperspectivegongeconomicgissues
D) doesgnot,ginternationalgeconomicgpolicygrequiresgcooperationgwithgothergcountries
E) does,gthegmotivesgandgbehaviorgofgindividualsgaregthegsameginginternationalgtradegasgtheygaregi
ngdomesticgtransactions
Answer:g Eg Pag
egRef:g31gDiffic
ulty:g Easy
10) BecausegthegConstitutiongforbidsgrestraintsgonginterstategtrade
A) thegU.S.gmaygnotgimposegtariffsgongimportsgfromgNAFTAgcountries.
B) thegU.S.gmaygnotgaffectgtheginternationalgvaluegofgtheg$gU.S.
C) thegU.S.gmaygnotgputgrestraintsgongforeignginvestmentsgingCaliforniagifgitginvolvesgagfinanci
algintermediarygingNewgYorkgState.
D) thegU.S.gmaygnotgimposegexportgduties.
E) thegU.S.gmaygnotgdisruptgcommercegbetweengFloridagandgHawaii
.gAnswer:g E
PagegRef:g32gDifficu
lty:g Easy
11) WhichgofgthegfollowinggisgNOTgagmajorgconcerngofginternationalgeconomicgtheory?
A) protectionism
B) thegbalancegofgpayments
C) exchangegrategdetermination
D) bilateralgtradegrelationsgwithgChina
E) theginternationalgcapitalgmarket
gAnswer:g D
PagegRef:g32gDifficu
lty:g Easy
12) "Tradegisggenerallygharmfulgifgtheregareglargegdisparitiesgbetweengcountriesgingwages."
A) Thisgisggenerallygtrue.
B) Thisgisggenerallygfalse.
C) Tradegtheoryghasgnothinggtogsaygaboutgthisgissue.
D) Thisgisgtruegifgthegtradegpartnergignoresgchildglaborglaws.
E) Thisgisgtruegifgthegtradegpartnergusesgprisonglabor
.gAnswer:g B
PagegRef:g32gDifficu
lty:g Easy
3
Copyrightg©g2018gPearsongEducationgLtd
.
, 13) Whogsellsgwhatgtogwhom
A) hasgbeengagmajorgpreoccupationgofginternationalgeconomics.
B) isgnotgagvalidgconcerngofginternationalgeconomics.
C) isgnotgconsideredgimportantgforggovernmentgforeigngtradegpolicygsincegsuchgdecisionsgaregmad
egingthegprivategcompetitivegmarket.
D) isgdeterminedgbygpoliticalgrathergthangeconomicgfactors.
E) isglessgimportantgthanginternationalgeconomicgtheory
.gAnswer:g A
PagegRef:g33gDifficu
lty:g Easy
14) Theginsightgthatgpatternsgofgtradegaregprimarilygdeterminedgbyginternationalgdifferencesgi
nglaborgproductivitygwasgfirstgproposedgby
A) AdamgSmith.
B) DavidgHume.
C) DavidgRicardo.
D) EligHeckscher.
E) LernergandgSamuelson.
gAnswer:g A
PagegRef:g33gDifficu
lty:g Easy
15) AftergWorldgWargII,gthegUnitedgStatesghasgpursuedgagbroadgpolicygof
A) strengtheningg"FortressgAmerica"gprotectionism.
B) removinggbarriersgtoginternationalgtrade.
C) isolatinggIrangandgothergmembersgofgtheg"axisgofgevil."
D) protectinggthegU.S.gfromgthegeconomicgimpactgofgoilgproducers.
E) restrictinggtradegofgmanufacturedggoods.
gAnswer:g B
PagegRef:g34gDifficu
lty:g Easy
16) ThegbalancegofgpaymentsghasgbecomegagcentralgissuegforgthegUnitedgStatesgbecause
A) whengthegbalancegofgpaymentsgisgnotgbalanced,gsocietygisgunbalanced.
B) thegU.S.geconomygcannotggrowgwhengthegbalancegofgpaymentsgisgingdeficit.
C) thegU.S.ghasgrunghugegtradegdeficitsgingeverygyeargsinceg1982.
D) thegU.S.gnevergexperiencedgagsurplusgingitsgbalancegofgpayments.
E) thegU.S.goncegrangaglargegtradegsurplusgofgaboutg$40gbillio
n.gAnswer:g C
PagegRef:g35gDifficu
lty:g Easy
4
Copyrightg©g2018gPearsongEducationgLtd
.