AGB 302 Final Exam | 100 Questions with 100% Correct and Verified Answers. Latest!

AGB 302 Final Exam | 100 Questions with 100% Correct and Verified Answers. Latest! which of the following is a step in the shift towards a market based economic system? - Correct Answer creation of a legal system to safeguard property rights" "design and names by which merchants or manufacturers designate and differentiate their products are known as __________ - Correct Answer trademarks" "________, a nobel prize-winning economist, has argued that development is not just an economic process, but it is a political one as well. - Correct Answer amartya sen" "country x and country y reach an agreement to boost bilateral trade. which level of economic integration is this an example of? - Correct Answer free trade area" "on average, studies indicate that NAFTA's overall impact has been: - Correct Answer small but positive" "an ___________ is one in which prices do not reflect all available information - Correct Answer inefficient market" "in several western democracies, the poor performance of state-owned enterprises, because of protection from competition and guaranteed government financial support, led to ________. - Correct Answer privatization" "one of the reasons for the spread of democracy is the emergence of _____________ who have pushed for democratic reforms. - Correct Answer increasingly prosperous middle and working classes" "which of the following areas of international trade is regulated by the Foreign Corrupt Practice Act? - Correct Answer preventing bribery and unethical acts in the conduct of international business" "the tenet of ___________ is that the welfare of society is best served by letting people pursue their own economic self-interest. - Correct Answer individualism" "the state can expropriate the profits from innovation through legal means, such as ____________. - Correct Answer excessive taxation" "a free market economy in which property rights are protected leads to subsequent economic growth, which often leads to the establishment of: - Correct Answer a democratic regime" "under the ___________, cases are judged with reference to three characteristics: tradition, precedent, and custom. - Correct Answer common law system" "anecdotal comparisons suggest that the assertion that nations that invest more in _________ will have higher growth rates is true. - Correct Answer education" "which of the following helps in adjusting GNI such that it accounts for the differences in the cost of living? - Correct Answer purchasing power party (PPP) adjustment" "in a ___________ economy, certain sectors of the economy are left to private ownership and free market mechanisms while other sectors have significant state ownership and government planning. - Correct Answer mixed" "a market economy encourages innovation because: - Correct Answer economic freedom leads to greater incentives for innovation" "several of the fastest-growing asian economies adopted more ___________ governments during the past three decades, including South Korea and Taiwan. - Correct Answer democratic" "which of the following statements about the legal systems of countries is true? - Correct Answer they can affect the attractiveness of a country as an investment site or market." "modern socialism has been popularized largely through the work of ____________. - Correct Answer karl marx" "which of the following is a measure that is developed by the United Nations to measure the quality of life in different nations? - Correct Answer human development index" "inflation occurs when: - Correct Answer the quantity of money in circulation rises faster than the stock of goods and services" "when a tourist goes to a bank in a foreign country to convert money into the local currency, the exchange rate used is the ____________ - Correct Answer spot rate" "a ____________ is the simultaneous purchase and sale of a given amount of foreign exchange for two different value dates - Correct Answer currency swap" "the rate at which one currency is converted into another is known as the _____________ - Correct Answer exchange rate" "the short-term movement of funds from one currency to another in the hopes of profiting from shifts in exchange rates is known as: - Correct Answer currency speculation" "the movement toward regional economic integration has been most successful in __________ - Correct Answer europe" "a political benefit of economic integration is that it: - Correct Answer reduces the potential for violent conflict" "to ensure that a free trade agreement does not result in trade diversion, which of the following has to come within the scope of WTO? - Correct Answer non-tariff barriers" "the risk that arises from volatile changes in exchange rates is known as ___________ - Correct Answer foreign exchange risk" "an ____________ entails even closer economic integration and cooperation than a common market - Correct Answer economic union" "the __________ is primarily a consultative rather than legislative body - Correct Answer European parliament" "the _________ is a global network of banks, brokers, and foreign exchange dealers connected by electronic communication systems - Correct Answer foreign exchange market" "which of the following is a reason why the European union is considered an imperfect economic union? - Correct Answer not all members of the union have adopted the euro" "which feature of a common market differentiates it from a customs union? - Correct Answer ability of factors of production to move freely between members" "in a pure market economy: - Correct Answer production is determined by the interaction of supply and demand." "interdependent political, economic, and legal systems of a country make up its: - Correct Answer political economy" "child labor is permitted and widely employed in country x. which of the following approaches to business ethics would justify the actions of the multinational company? - Correct Answer cultural relativism" "the __________ approaches to ethics hold that the moral worth of actions or practices is determined by their consequences. - Correct Answer utilitarian" "which of the following refers to the values and norms that the employees of an organization share? - Correct Answer organization culture" "which of the following statements about values and norms of a culture is true? - Correct Answer the values and norms of a society influence social structure" "according to Islam, those who hold property are regarded as _____________. - Correct Answer trustees" "which of the following is a closed system of stratification in which social position is determined by the family into which a person is born, and change in that position is usually not possible during an individual's lifetime? - Correct Answer caste system" "the __________ occurs when a resource is shared by all, but owned by no one, is overused by individuals, resulting in its degradation. - Correct Answer tragedy of the commons" "companies can strengthen the __________ of employees by committing themselves to not retaliate against employees who complain about unethical actions. - Correct Answer moral courage" "a Japanese executive's ritual of presenting a business card to a foreign business executive is an example of ___________. - Correct Answer folkways" "ethical systems are: - Correct Answer a set of moral principles, or values, that are used to guide and shape behavior" "which of the following sociologists made a connection between protestant ethics and "the spirit of capitalism"? - Correct Answer max weber" "which of the following is a consequence of the emphasis on individual performance in many western societies? - Correct Answer high degrees of managerial mobility" "which of the following statements is true about a class system? - Correct Answer social mobility within a class system varies from society to society" "there are three values central to the confucian system of ethics that have very important economic implications. which of the following is one of these? - Correct Answer honesty in dealings with others" "the righteous moralist suggests that: - Correct Answer if a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either" "the convention on combating bribery of foreign public officials in international business transactions excludes: - Correct Answer facilitating payments made to expedite routine government action" "a firm's ________ include customers, suppliers, and lenders - Correct Answer external stakeholders" "a situation in which none of the available alternatives seems morally acceptable is called: - Correct Answer an ethical dilemma" "according to the Friedman doctrine: - Correct Answer businesses should not undertake social expenditures beyond those mandated by the law and required for the efficient running of a business" "for international businesses, the connection between culture and competitive advantage is important because: - Correct Answer a strong connection is likely to produce the most viable competitors" "inadequate protections for intellectual property: - Correct Answer reduce the incentive for innovation" "which of the following refers to a situation where a government does not attempt to influence through quotas or duties what its citizens can buy from another country? - Correct Answer free trade" "which of the following is a theory that can be used to justify limited government intervention to support the development of certain export-oriented industries? - Correct Answer new trade theory" "a key issue in the "millennium round" of the WTO was to: - Correct Answer further reduce barriers to cross-border trade and investment" "many firms, of all national origins, increasingly depend on __________ for their competitive advantage - Correct Answer globally dispersed production systems" "WTO rules allow countries to ___________ foreign goods that are being sold cheaper than at home, or below their cost of production, even when domestic producers can show that they are being harmed - Correct Answer impose antidumping duties on" "the theory of comparative advantage suggests that trade is a __________ game in which all countries that participate realize economic gains - Correct Answer positive-sum" "____________ are levied as a proportion of the value of the imported good - Correct Answer ad valorem tariffs" "according to Ricardo's theory of comparative advantage, a country should produce goods: - Correct Answer that it produces most efficiently" "___________ are unit cost reductions associated with a large scale of output - Correct Answer economies of scale" "the _________ argues that a large proportion of the world's new products had been developed by U.S. firms - Correct Answer product life-cycle theory" "a company that sells its product in a foreign market below the cost of production may be accused of - Correct Answer dumping" "David Ricardo's theory of comparative advantage explains global trade in terms of the: - Correct Answer international differences in labor productivity" "according to the infant industry argument, many developing countries have a potential ____________ in manufacturing, but new manufacturing industries cannot initially compete with established industries in developed countries - Correct Answer comparative advantage" "krugman has suggested that trade policy designed to retaliate against another country's trade policy would: - Correct Answer hurt the citizens of both countries" "strategic trade policy suggests that a government should use _________ to support promising firms that are active in newly emerging industries - Correct Answer subsidies" "a country has an absolute advantage in the production of a product when it: - Correct Answer is more efficient than any other country in producing it" "a ___________ helps domestic producers to compete against foreign imports - Correct Answer subsidy" "____________ argued that countries should specialize in the production of goods for which they have an absolute advantage - Correct Answer adam smith" "the two most common methods of restricting inward FDI are ownership restraints and __________ - Correct Answer performance requirements" "investors who purchase a fixed-rate bond receive: - Correct Answer a fixed set of cash payoffs" "a ____________ brings together those who want to invest money and those who want to borrow money - Correct Answer capital market" "which of the following factors has made the united states an attractive target for foreign direct investment? - Correct Answer its wealthy domestic markets" "a Japanese car manufacturer acquires an italian producer of car tires. this is an example of an ____________ - Correct Answer acquisition" "__________ refers to the movements in a stock portfolio's value that are attributable to macroeconomic forces affecting all firms in an economy - Correct Answer systematic risk" "a ______________ requires a corporation to repay a predetermined portion of the loan amount at regular intervals regardless of how much profit it is making - Correct Answer debt loan" "an integrated international capital market is ________ compared to a nonintegrated market - Correct Answer highly volatile" "_____________ perform a direct connection function in a capital market - Correct Answer investment banks" "market makers are: - Correct Answer financial service companies that connect investors and borrowers" "the cost of capital is: - Correct Answer higher in a purely domestic capital market than in a global market" "recent years have seen a __________ in the number of countries that adhere to a radical ideology regarding FDI - Correct Answer marked decline" "which of the following is an example of a greenfield investment? - Correct Answer a Chinese sugar maker setting up a sugar crushing facility in Cuba" "an aspect of _________ is the tendency to aggressively court FDI believed to be in the national interest by, for example, offering subsidies to foreign MNEs in the form of tax breaks or grants - Correct Answer pragmatic nationalism" "borrowers can hedge against foreign exchange risks by entering into a ________ contract - Correct Answer forward" "developing nations currently account for _________ of FDI in the form of cross-border mergers and acquisitions - Correct Answer about one-third or less" "____________ gives a firm tight control over manufacturing, marketing, and strategy in a foreign country that may be required to maximize its profitability - Correct Answer foreign direct investment" "__________ deposits are regulated in most industrialized countries - Correct Answer domestic currency" "the largest source country for FDI has been _____________ - Correct Answer the United States" "____________ argues that FDI is a benefit to both the source country and to the host country - Correct Answer the free market view" "from least integrated to most integrated, the levels of economic integration are a: - Correct Answer free trade area, customs union, common market, economic union, and political union" "an exchange rate of 1 euro = $1.30 indicates that: - Correct Answer one euro buys 1.30 dollars" "restrictions on external convertibility can: - Correct Answer limit domestic companies from investing abroad"