Test Bank Solution Manual for Global Business Latest Update 2024 (Already Passed)

Test Bank Solution Manual for Global Business Latest Update 2024 (Already Passed) What is a major global concern, especially to international organizations such as IMF, World Bank, WTO - Answers Nationalist o protectionist policies that curtail world trade The dawn of globalization can be traced back to the____ century - Answers 15th What encompasses the socio-economic reform process of eliminating trade, investment, cultural, information technology, and political barriers across countries, which could lead to increased economic growth and geo-political integration and interdependence among nations of the world - Answers Globalization ______ refers to a fundamental global shift in which developing economies that were once dependent upon industrialized countries for economic advancement, begin to solidly grow based on their own underlying economic strenghts - Answers Decoupling The global system of exchange rates and international payments that enables countries and their citizens to buy goods and services from each other is known as_______ - Answers International Monetary Fund What is NOT a developmental institution closely associated with the World Bank? - Answers OEDC The International Development Association performs what? - Answers Provides long-term low-interest social sector and infrastructure loans to the poorest members utilizing foreign aid funds provided by rich nation members Economic policy changes that promote private sector development, competitive markets, market-pricing, freer trade, and deregulation is (are) called economic __________ - Answers Reforms The WTO is based in_______ - Answers Geneva, Switzerland The International Finance Corporation performs what functions? - Answers Provide loans and take equity position in private companies of developing countries and works toward developing capital markets in those economies A stock exchange where long-term financial instruments such as stocks and bones can be bought and sold is called __________ - Answers Capital market A cashier who places a customer's change on the counter so that he/she may verify the amount of change best demonstrates what? - Answers Transparency Joseph was born in 1993. He grew up accessing the Internet via many types of wireless devices and now uses the Internet for Skype and to buy book sand download video games. Joseph is a member of the ________ generation - Answers Digital The period of transformation that adjusts lifestyles to make the Internet and wireless technologies part of everyday life is called __________ - Answers The digital era Economic development that meets the needs of the present generation without compromising the ability of future generation to meet their own needs, whether environmentally, socially, or economically is referred to as ____________ development - Answers Sustainable All commercial transactions, both private and public between nations of the world, are referred to as __________ - Answers International business The earliest and simplest form of international business is _______ - Answers Trade What is NOT listed in the text as a benefit to consumers of international trade - Answers Increased cooperation among countries of the world What is identified as a high income country? - Answers Belgium _____ is a theory of international trade that supports the premise that a nation could only gain from trade if it had a trade surplus - Answers Mercantilism Porter identified two crucial variables outside the diamond the play an important role in the competitiveness of nations: chance and ______ - Answers Government When the value of exports exceeds the value of imports in a country, it is called _______ - Answers Trade surplus _____ refers to an external shock or development that could drastically change or hasten the course of economic development - Answers Chance If a car dealer in the United Statues imports a $50,000 BMW from Germany, the 2.5% tariff or $1,250 that the dealer must pay the U.S, government will be passed on to the customer. This is an example of a _______ tariff - Answers Ad valorem At the end of WWII, three major international organizations were established to accelerate trade and economic growth among countries of the world. They are: the IMF, World bank, and - Answers GATT Import quotas are also known as _____ - Answers Quantitative restrictions By 2014, _____ nations had become members of the WTO - Answers 160 Suppose Bangladesh government recently passed regulations requiring a certain percentage of the value of import be sourced domestically. This regulation would be known as ________ - Answers Domestic content provision An agreement in which an exporter of goods or services to another country commits to import goods or services of corresponding value from the country is referred to as ___________ - Answers Countertrade What is NOT in the socio-economic category of managed trade? - Answers Embargoes _______ includes a multitude of economic and/or political steps that may be taken by number states of a union to increase their global competitiveness, including preferential trade access - Answers Regional integration For region integration to be successful, member countries need to undertake - Answers Spatial transformations According to the text, what is the first step to regional integration? - Answers Free trade area The study of principles that govern the efficient spatial allocation of economic resources and the resulting consequences is referred to as __________ - Answers Economic geography If three countries: A, B, C are attempting regional integration, the appropriate approach for these countries should involve what fundamental? - Answers Compensate the least fortunate According to the text, what is NOT a region with small markets located far from the world markets? - Answers Iran As of now, the fate of the EU candidate country ___________ is still uncertain, a case which has been highly controversial - Answers Turkey According to the text, all are EU member states EXCEPT - Answers Ukraine NAFTA is comprehensive free trade agreement among Canada, United States, and _____ - Answers Mexico Since 2005, _____ has been the United States' second largest trade partner - Answers China In what year was ASEAN established? - Answers 1967 A growing ASEAN concern is the economic ascendancy of _____ - Answers China What is the purpose of the ASEAN Regional Forum (ARF)? - Answers To discuss major security issues in the region What is an objective of ASEAN? - Answers To promote regional peace and stability A statement of account that shows all transactions between the residents of one country and the rest of the world for a given period of time is called a ______ - Answers Balance of payments Balance of payment is generally split into ____ major components - Answers 2 When a country imports more than it exports, it has a ______ - Answers Trade defiicit John as an investor requires the added return for risk associated with a security or asset. This added return would be called a _____ - Answers Risk premium The current account consists of _____ subaccounts - Answers 4 The activities of consumers and businesses in the economy with respect to the trade balance, services balance, income balance, and net transfers is called a _____ - Answers Current account The net of investment from abroad and investment payments to foreigners is called the _____ - Answers Income balance The financial account of the BOP consists of ____ subaccounts - Answers 3 A global network of international banks and currency traders the trade different countries' currencies is called a ______ - Answers Foreign exchange market If you were evaluating a system that sets the values of major currencies based on their demand and supply in world currency markets, it should be described as the _____ - Answers Independent floating exchange rate system There are about ____ different currencies that are used to make international payments for goods and services - Answers 150 A monetary system with varying degrees of government intervention to maintain a range of acceptable values against other currencies is called _____ - Answers Dirty float currency Country A is an emerging economy and Country B is a developed economy with hard currency. Country A's currency which is less stable in value than Country B's currency and is pegged to Country B's currency values. Country A's currency would be described as a ____ currency - Answers Soft A theory stating that a basket of good should have approximately the same prices across different countries is referred to as ______ - Answers Purchasing power parity Buying goods in lower priced market and selling them in a higher priced market to make profits is called _____ - Answers Arbitrage There are ___ characteristics of culture which are important for global companies to recognize - Answers 4 ______ refers to the ability of a firm to adjust to a culture different from its own - Answers Acculturation How many primary language types are there? - Answers 2 _______ infrastructure involves transportation, energy, and communications. - Answers Economic