WGU C211 Global Economics Terms Questions and Answers 100% Correct

WGU C211 Global Economics Terms Questions and Answers 100% Correct Foreign Direct Investment (FDI) - Answer- Investment in, controlling, and managing value-added activities in other countries. Mercantilism/Theory of Mercantilism - Answer- A theory that suggests that the wealth of the world is fixed and that a nation that exports more and imports less will be richer. Strategic Trade Policy - Answer- Government policy that provides companies a strategic advantage in international trade through subsidies and other supports. Transaction Risk - Answer- It's the exchange rate risk associated with the time delay between entering into a contract and settling it. Cognitive Pillar - Answer- The internalized (or taken-forgranted) values and beliefs that guide individual and firm behavior. Normative Pillar - Answer- The mechanism through which norms influence individual and firm behavior. Regulatory Pillar - Answer- The coercive power of Governments. Democracy - Answer- A political system in which citizens elect representatives to govern the country on their behalf. Totalitarianism - Answer- A political system in which one person or party exercises absolute political control over the population. Civil Law - Answer- A legal tradition that uses comprehensive statutes and codes as a primary means to form legal judgements.