WGU C211 focus questions from
chapters, C211 Global Economics for
Managers WITH ABSOLUTE
RESOLUTIONS.
,Globalization can be viewed as: - correct ans:1. a new force sweeping
through the world in recent times.
2. a long-run historical evolution since the dawn of human history.
3. a pendulum that swings from one extreme to another from time to time.
Which are the three views of globalization? - correct ans:A recent force, a
long-running evolution, and a pendulum
An import quota is: - correct ans:restriction on the quantity of imports that
can be brought into a country.
Examples of nontariff trade barrier (NTB) - correct ans:Import quotas
Local content requirements
Subsidies
Free trade is defined as: - correct ans:The idea that market forces should
determine how much to trade with little or no government intervention.
political argument against free trade - correct ans:Consumer protection
National security
Environmental and social responsibility
To express its opposition to the political regime in Myanmar, the United
States has banned the importation of jade and other gemstones from that
country. This is an example of a - correct ans:trade embargo
The primary political views on FDI are: - correct ans:Free market and
pragmatic nationalism
,Firms can increase their chances of success with FDI by - correct ans:1.
assessing whether FDI is justified, in light of other options.
2. understanding that political realities either facilitate or constrain FDI.
3. leveraging OLI advantages in a way that is valuable, unique, and hard to
imitate by rival firms.
How do firms create value when engaging rivals - correct ans:1. Secure
patents on key products.
2. All of these
3. Launch products in multiple markets.
4. Hold a dominant position in key markets.
The theory of comparative advantage was advocated by - correct ans:David
Ricardo
The modern trade theories include the following - correct ans:1. Theory of
product life cycle
2. Theory of national competitive advantage of industries
3. Theory of strategic trade
The theory of mercantilism - correct ans:views international trade as a zero-
sum game.
According to the theory of absolute advantage, under free trade - correct
ans:each nation gains by specializing in economic activities in which a nation
has absolute advantage
comparative advantage - correct ans:the ability to produce a good at a lower
opportunity cost than another producer
, Absolute Advantage - correct ans:The economic advantage one nation enjoys
that is absolutely superior to other nations.
Strategic trade theory - correct ans:A theory that suggests that strategic
intervention by governments in certain industries can enhance their odds for
international success.
Product life cycle theory - correct ans:A theory that accounts for changes in
the patterns of trade over time by focusing on product life cycles.
The three modern theories of international trade - correct ans:1. product life
cycle
2. strategic trade
3. national competitive advantage of industries.
Base of the pyramid (BOP) - correct ans:Economies where people make less
than $2,000 per capita per year.
BRICA - correct ans:Brazil, Russia, India, and China.
Emerging economies - correct ans:term that has gradually replaced the term
"developing countries" since the 1990s.
Emerging markets - correct ans:A term that is often used interchangeably
with "emerging economies."
Expatriate manager - correct ans:A manager who works abroad, or "expat"
for short.
chapters, C211 Global Economics for
Managers WITH ABSOLUTE
RESOLUTIONS.
,Globalization can be viewed as: - correct ans:1. a new force sweeping
through the world in recent times.
2. a long-run historical evolution since the dawn of human history.
3. a pendulum that swings from one extreme to another from time to time.
Which are the three views of globalization? - correct ans:A recent force, a
long-running evolution, and a pendulum
An import quota is: - correct ans:restriction on the quantity of imports that
can be brought into a country.
Examples of nontariff trade barrier (NTB) - correct ans:Import quotas
Local content requirements
Subsidies
Free trade is defined as: - correct ans:The idea that market forces should
determine how much to trade with little or no government intervention.
political argument against free trade - correct ans:Consumer protection
National security
Environmental and social responsibility
To express its opposition to the political regime in Myanmar, the United
States has banned the importation of jade and other gemstones from that
country. This is an example of a - correct ans:trade embargo
The primary political views on FDI are: - correct ans:Free market and
pragmatic nationalism
,Firms can increase their chances of success with FDI by - correct ans:1.
assessing whether FDI is justified, in light of other options.
2. understanding that political realities either facilitate or constrain FDI.
3. leveraging OLI advantages in a way that is valuable, unique, and hard to
imitate by rival firms.
How do firms create value when engaging rivals - correct ans:1. Secure
patents on key products.
2. All of these
3. Launch products in multiple markets.
4. Hold a dominant position in key markets.
The theory of comparative advantage was advocated by - correct ans:David
Ricardo
The modern trade theories include the following - correct ans:1. Theory of
product life cycle
2. Theory of national competitive advantage of industries
3. Theory of strategic trade
The theory of mercantilism - correct ans:views international trade as a zero-
sum game.
According to the theory of absolute advantage, under free trade - correct
ans:each nation gains by specializing in economic activities in which a nation
has absolute advantage
comparative advantage - correct ans:the ability to produce a good at a lower
opportunity cost than another producer
, Absolute Advantage - correct ans:The economic advantage one nation enjoys
that is absolutely superior to other nations.
Strategic trade theory - correct ans:A theory that suggests that strategic
intervention by governments in certain industries can enhance their odds for
international success.
Product life cycle theory - correct ans:A theory that accounts for changes in
the patterns of trade over time by focusing on product life cycles.
The three modern theories of international trade - correct ans:1. product life
cycle
2. strategic trade
3. national competitive advantage of industries.
Base of the pyramid (BOP) - correct ans:Economies where people make less
than $2,000 per capita per year.
BRICA - correct ans:Brazil, Russia, India, and China.
Emerging economies - correct ans:term that has gradually replaced the term
"developing countries" since the 1990s.
Emerging markets - correct ans:A term that is often used interchangeably
with "emerging economies."
Expatriate manager - correct ans:A manager who works abroad, or "expat"
for short.
