WGU C211 SECOND OA ACTUAL QUESTIONS
AND CORRECT ANSWERS
◉ A conversion that determines the equivalent amount of goods and
services that different currencies can buy is known as _____.
Answer: purchasing power parity
◉ Which of the following countries would be characterized as an
emerging economy?
Answer: Brazil
◉ Which of the following countries is represented in the Triad of the
global economic pyramid?
Answer: Japan
◉ People who earn _____ a year comprise the base of the global
economic pyramid.
Answer: less than $2,000
◉ A _____ is defined as an innovation that is adopted first in emerging
economies and then diffused around the world.
Answer: reverse innovation
,◉ The _____ view suggests that the success and failure of firms are
largely determined by their environments.
Answer: institution-based
◉ The _____ view of global business focuses on internal factors that
can help a firm overcome its external environment.
Answer: resource-based
◉ Which of the following is true of globalization according to the
"pendulum view" perspective?
Answer: Globalization is a not a one-directional phenomenon
◉ The concept of _____ suggests that barriers to market integration
at borders are high, but not high enough to completely insulate
countries from each other.
Answer: semiglobalization
◉ _____ is the strategy of treating the entire world as one market.
Answer: Standardization
◉ Protectionism is similar to mercantilism as they both advocated
_____.
,Answer: government involvement in international trade
◉ The _____ principle advocated that governments should actively
protect domestic industries from imports and vigorously promote
exports.
Answer: Protectionism
◉ Which of the following is a modern trade theory?
Answer: National competitive advantage
◉ Which of the following trade theories divides the nations of the
world into three categories?
Answer: Product life cycle
◉ Which of the following was the first international trade theory to
account for changes in the patterns of trade over time?
Answer: Product life cycle theory
◉ In the third stage of the product life cycle theory, the _____.
Answer: product is standardized
◉ Which of the following describes resource mobility as assumed by
the classical theories of international trade?
, Answer: It is the assumption that a resource used in producing a
product for one industry can be shifted and put to use in another
industry
◉ The theory of comparative advantage _____.
Answer: explains patterns of trade based on factor endowments
◉ Deadweight costs are net losses that occur when _____ are
imposed.
Answer: import tariffs
◉ _____ are government payments to domestic firms.
Answer: Subsidies
◉ Which of the following is true of voluntary export restraints?
Answer: It is an export quota levied by a country on the quantity of
its exports.
◉ _____ are tariffs levied on imports sold below costs to drive
domestic firms out of business.
Answer: Antidumping duties
◉ FPI refers to the _____.
AND CORRECT ANSWERS
◉ A conversion that determines the equivalent amount of goods and
services that different currencies can buy is known as _____.
Answer: purchasing power parity
◉ Which of the following countries would be characterized as an
emerging economy?
Answer: Brazil
◉ Which of the following countries is represented in the Triad of the
global economic pyramid?
Answer: Japan
◉ People who earn _____ a year comprise the base of the global
economic pyramid.
Answer: less than $2,000
◉ A _____ is defined as an innovation that is adopted first in emerging
economies and then diffused around the world.
Answer: reverse innovation
,◉ The _____ view suggests that the success and failure of firms are
largely determined by their environments.
Answer: institution-based
◉ The _____ view of global business focuses on internal factors that
can help a firm overcome its external environment.
Answer: resource-based
◉ Which of the following is true of globalization according to the
"pendulum view" perspective?
Answer: Globalization is a not a one-directional phenomenon
◉ The concept of _____ suggests that barriers to market integration
at borders are high, but not high enough to completely insulate
countries from each other.
Answer: semiglobalization
◉ _____ is the strategy of treating the entire world as one market.
Answer: Standardization
◉ Protectionism is similar to mercantilism as they both advocated
_____.
,Answer: government involvement in international trade
◉ The _____ principle advocated that governments should actively
protect domestic industries from imports and vigorously promote
exports.
Answer: Protectionism
◉ Which of the following is a modern trade theory?
Answer: National competitive advantage
◉ Which of the following trade theories divides the nations of the
world into three categories?
Answer: Product life cycle
◉ Which of the following was the first international trade theory to
account for changes in the patterns of trade over time?
Answer: Product life cycle theory
◉ In the third stage of the product life cycle theory, the _____.
Answer: product is standardized
◉ Which of the following describes resource mobility as assumed by
the classical theories of international trade?
, Answer: It is the assumption that a resource used in producing a
product for one industry can be shifted and put to use in another
industry
◉ The theory of comparative advantage _____.
Answer: explains patterns of trade based on factor endowments
◉ Deadweight costs are net losses that occur when _____ are
imposed.
Answer: import tariffs
◉ _____ are government payments to domestic firms.
Answer: Subsidies
◉ Which of the following is true of voluntary export restraints?
Answer: It is an export quota levied by a country on the quantity of
its exports.
◉ _____ are tariffs levied on imports sold below costs to drive
domestic firms out of business.
Answer: Antidumping duties
◉ FPI refers to the _____.
