WGU C211|49 Questions with 100% Correct Answers | Updated & Verified

Which view claims that the phenomenon of globalization was initially driven by the desire of Western economies to exploit their power through multinational enterprises? - ️️The new-force view Economic gains come from international trade because one country's exported goods, services, or other items are unique, valuable, and difficult to duplicate to the importing countries - ️️Resource-based view What is the aggregation of importing and exporting that leads to the country-level trade surplus or deficit? - ️️Balance of trade What is a cost of foreign direct investment? - ️️Developing countries may be exploited by multinational enterprises (MNE). What may precious, rare, and hard-to-duplicate resources and capabilities lead to for a firm? - ️️Sustained comparative advantage Which theory states that patterns of international trade change across new, maturing, and standardized stages? - ️️Product life cycle theory What is the financial environment in which exchange rates and payments for goods and services are conducted? - ️️International monetary system What happens to a country's real exchange rate and nominal interest rate as the price level increases, assuming all other factors are unchanged? - ️️Exchange rates fall and interest rates rise. What is the easiest method nonfinancial companies use to handle currency fluctuations? - ️️Currency diversification