D080 - Set 2|Latest Update Graded A+

D080 - Set 2|Latest Update Graded A+ Its primary purpose is to ensure the stability of the international monetary system - the system of exchange rates and international payments that enables countries and their citizens to transact with each other. International Monetary Fund (IMF) The difference in total value between payments into and out of the country over a period of time. Balance of payments When a country's currency value is fixed or pegged by a monetary authority against the value of another currency, a basket of currencies, or another measure of value. Fixed-rate currency exchange system Its purpose was to help with post-World War II European reconstruction. The World Bank The official currency of the People's Republic of China and translates to "people money." Renminbi Something pledged as security for repayment of a loan to be forfeited in the event of a default. Collateral Being owned and directed by the governments of the member nations. Which activity of the International Monetary Fund (IMF) impacts policymaking? It is a cooperative institution and provides more effective currency exchange. What is a characteristic of the International Monetary Fund (IMF)? Regulated currency exchange between nations. What was the initial purpose of the International Monetary Fund (IMF) in phase one, prior to 1973? It reduces funding for social programs. How does the International Monetary Fund (IMF) impact international organizations and governments? A tool used by a company or any other entity to raise money or capital. Debt instruments The highest possible rating that may be assigned by a credit rating agency for a bond. AAA ratings World Bank What is a common name for the International Bank for Reconstruction and Development? To France to rebuild its infrastructure. What was the first loan that the World Bank made after the end of World War II? The developed countries such as the U.S. and Europe have too much control over its decisions. Which criticism is associated with the World Bank? It does not consider how funding projects will affect the environment. Which criticism is made about the World Bank? A WTO agreement that governs all IP laws and protects intellectual property rights for global businesses. TRIPS (Trade-Related Aspects of Intellectual Property Rights) Decrease in tariffs What was one of the results of the Uruguay Round of the World Trade Organization negotiations? World Trade Organization (WTO) Which strategic network was established to work towards decreasing tariff rates and protecting commerce and intellectual property globally? World Trade Organization (WTO) Which organization was formed after World War II to encourage international commerce? It protects developed countries more than developing countries. Which criticism is made about the World Trade Organization (WTO)? An order of a government prohibiting the departure of commercial ships from its ports. Embargo One of the earliest economic theories, which stated that a country's wealth was determined by the amount of gold and silver they had in their possession. Mercantilism When the value of a country's exports is greater than the value of goods being imported. Trade surplus The theory or practice of protecting a country's domestic industries from foreign competition by taxing imports. Protectionism When the countries promote a combination of protectionist policies and restrictions and domestic industry subsidies. Neo-mercantilism