WGU C211 GLOBAL ECONOMICS FOR MANAGERS LATEST
VERIFIED ANSWERS PRACTICE QUESTIONS 2025 2026
1. Which view of globalization treats it as a relatively recent phenomenon accelerated by
modern information and transportation technology?
Globalization And Global Economic Environment
Evolutionary view
New view
Pendulum view
Mercantilist view
2. Which view of globalization emphasizes a long historical process dating back to early
human exchange?
Globalization And Global Economic Environment
New view
Evolutionary view
Pendulum view
Protectionist view
3. Which view portrays globalization as moving back and forth between periods of
integration and fragmentation?
Globalization And Global Economic Environment
New view
Evolutionary view
Pendulum view
Laissez-faire view
Global trade and investment network
Original C211-style practice material; not reproduced WGU assessment content. Page 1
, 4. Foreign direct investment (FDI) is best described as investment that gives a firm a lasting
interest and significant influence over business activities in another country.
Globalization And Global Economic Environment
Foreign aid
FDI
Portfolio diversification
Domestic capital formation
5. Which is a likely benefit to an FDI host country?
Globalization And Global Economic Environment
Guaranteed elimination of competition
Capital inflow and technology spillovers
Permanent trade surplus
Removal of all regulation
6. Which is a possible concern for an FDI host country?
Globalization And Global Economic Environment
Technology transfer
Job creation
Loss of some economic sovereignty
Access to new capital
7. A government that welcomes FDI when it creates national benefits but restricts it in
strategic industries reflects which political view?
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Autarky
8. The radical view of FDI generally argues that multinational enterprises may exploit host
countries and reinforce dependency.
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Comparative-advantage view
9. A free-market view of FDI generally emphasizes the efficiency and capital benefits of
cross-border investment.
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Import-substitution view
Original C211-style practice material; not reproduced WGU assessment content. Page 2
, 10. Which organization is primarily responsible for setting rules for international trade among
member economies?
Globalization And Global Economic Environment
WTO
IMF
World Bank
OECD Development Assistance Committee
11. Which institution focuses heavily on international monetary cooperation and
balance-of-payments support?
Globalization And Global Economic Environment
WTO
IMF
ILO
UNESCO
12. Which institution is especially associated with development financing and poverty
reduction projects?
Globalization And Global Economic Environment
World Bank
WTO
IMF
BIS
13. A country's political system, laws, and institutions are part of its ____ environment.
Globalization And Global Economic Environment
economic
political-legal
demographic
technological only
14. A firm's decision to locate production where labor, capital, and infrastructure are
favorable is primarily a response to differences in ____ conditions.
Globalization And Global Economic Environment
resource and factor
weather only
currency denomination only
population age only
15. Globalization can increase managerial complexity because firms must account for
different regulations, cultures, currencies, and market conditions.
Globalization And Global Economic Environment
Globalization
Autarky
Nationalization
Barter
Original C211-style practice material; not reproduced WGU assessment content. Page 3
, 16. Which strategy most directly reduces a firm's exposure to a single country's demand
shock?
Globalization And Global Economic Environment
Market diversification across countries
Single-country concentration
Eliminating exports
Vertical price fixing
17. A multinational enterprise is best characterized by a firm that conducts value-adding
activities in more than one country.
Globalization And Global Economic Environment
a firm with only domestic sales
a multinational enterprise
a nonprofit agency
a central bank
18. Which is an example of a global supply chain?
Globalization And Global Economic Environment
A firm sources components in several countries and assembles them in another
A shop sells only locally produced goods
A government prints currency
A bank sets a domestic reserve ratio
19. Offshoring refers to moving business activities to another country, often to reduce costs
or access capabilities.
Globalization And Global Economic Environment
Offshoring
Inflation targeting
Fiscal tightening
Sterilization
20. Outsourcing differs from offshoring because outsourcing concerns who performs an
activity, while offshoring concerns where the activity is performed.
Globalization And Global Economic Environment
Outsourcing
GDP accounting
Monetary neutrality
Tariff escalation
21. A country with a highly educated workforce and strong infrastructure has a potential
advantage in attracting knowledge-intensive FDI.
Globalization And Global Economic Environment
knowledge-intensive FDI
capital controls
trade embargoes
currency boards
Original C211-style practice material; not reproduced WGU assessment content. Page 4
VERIFIED ANSWERS PRACTICE QUESTIONS 2025 2026
1. Which view of globalization treats it as a relatively recent phenomenon accelerated by
modern information and transportation technology?
Globalization And Global Economic Environment
Evolutionary view
New view
Pendulum view
Mercantilist view
2. Which view of globalization emphasizes a long historical process dating back to early
human exchange?
Globalization And Global Economic Environment
New view
Evolutionary view
Pendulum view
Protectionist view
3. Which view portrays globalization as moving back and forth between periods of
integration and fragmentation?
Globalization And Global Economic Environment
New view
Evolutionary view
Pendulum view
Laissez-faire view
Global trade and investment network
Original C211-style practice material; not reproduced WGU assessment content. Page 1
, 4. Foreign direct investment (FDI) is best described as investment that gives a firm a lasting
interest and significant influence over business activities in another country.
Globalization And Global Economic Environment
Foreign aid
FDI
Portfolio diversification
Domestic capital formation
5. Which is a likely benefit to an FDI host country?
Globalization And Global Economic Environment
Guaranteed elimination of competition
Capital inflow and technology spillovers
Permanent trade surplus
Removal of all regulation
6. Which is a possible concern for an FDI host country?
Globalization And Global Economic Environment
Technology transfer
Job creation
Loss of some economic sovereignty
Access to new capital
7. A government that welcomes FDI when it creates national benefits but restricts it in
strategic industries reflects which political view?
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Autarky
8. The radical view of FDI generally argues that multinational enterprises may exploit host
countries and reinforce dependency.
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Comparative-advantage view
9. A free-market view of FDI generally emphasizes the efficiency and capital benefits of
cross-border investment.
Globalization And Global Economic Environment
Radical view
Free-market view
Pragmatic nationalism
Import-substitution view
Original C211-style practice material; not reproduced WGU assessment content. Page 2
, 10. Which organization is primarily responsible for setting rules for international trade among
member economies?
Globalization And Global Economic Environment
WTO
IMF
World Bank
OECD Development Assistance Committee
11. Which institution focuses heavily on international monetary cooperation and
balance-of-payments support?
Globalization And Global Economic Environment
WTO
IMF
ILO
UNESCO
12. Which institution is especially associated with development financing and poverty
reduction projects?
Globalization And Global Economic Environment
World Bank
WTO
IMF
BIS
13. A country's political system, laws, and institutions are part of its ____ environment.
Globalization And Global Economic Environment
economic
political-legal
demographic
technological only
14. A firm's decision to locate production where labor, capital, and infrastructure are
favorable is primarily a response to differences in ____ conditions.
Globalization And Global Economic Environment
resource and factor
weather only
currency denomination only
population age only
15. Globalization can increase managerial complexity because firms must account for
different regulations, cultures, currencies, and market conditions.
Globalization And Global Economic Environment
Globalization
Autarky
Nationalization
Barter
Original C211-style practice material; not reproduced WGU assessment content. Page 3
, 16. Which strategy most directly reduces a firm's exposure to a single country's demand
shock?
Globalization And Global Economic Environment
Market diversification across countries
Single-country concentration
Eliminating exports
Vertical price fixing
17. A multinational enterprise is best characterized by a firm that conducts value-adding
activities in more than one country.
Globalization And Global Economic Environment
a firm with only domestic sales
a multinational enterprise
a nonprofit agency
a central bank
18. Which is an example of a global supply chain?
Globalization And Global Economic Environment
A firm sources components in several countries and assembles them in another
A shop sells only locally produced goods
A government prints currency
A bank sets a domestic reserve ratio
19. Offshoring refers to moving business activities to another country, often to reduce costs
or access capabilities.
Globalization And Global Economic Environment
Offshoring
Inflation targeting
Fiscal tightening
Sterilization
20. Outsourcing differs from offshoring because outsourcing concerns who performs an
activity, while offshoring concerns where the activity is performed.
Globalization And Global Economic Environment
Outsourcing
GDP accounting
Monetary neutrality
Tariff escalation
21. A country with a highly educated workforce and strong infrastructure has a potential
advantage in attracting knowledge-intensive FDI.
Globalization And Global Economic Environment
knowledge-intensive FDI
capital controls
trade embargoes
currency boards
Original C211-style practice material; not reproduced WGU assessment content. Page 4
