C211 OA (with Complete Solutions)

view that claims phenomenon of globalization was initially driven by the desire of Western economies to exploit their power through MNE's correct answers new view that claims globalization is a long-run historical evolution since the dawn of humanity. Says it is nothing new and that it will always exist correct answers evolutionary view that claims globalization is swinging from one extreme to another from time to time correct answers pendulum investment in, controlling, and managing value-added activities in other countries correct answers foreign direct investment political view hostile to FDI. believes it is an instrument of imperialism and vehicle for exploitation of domestic resources by foreign capitalists and firms correct answers radical suggests that FDI, unrestricted by government intervention, will enable countries to tap into their absolute or comparative advantages by specializing in the production of certain goods and services correct answers free market views FDI as having pros and cons and only approving FDI when its benefits outweigh costs correct answers pragmatic nationalis what benefits exist to a country receiving FDI? correct answers capital inflow, technology spillovers, advanced management know-how, creates jobs what costs exist to a country receiving FDI? correct answers loss of sovereignty, adverse effects on competition, net outflow in the capital account The aggregation of importing and exporting that leads to the country-level trade surplus or deficit. correct answers balance of trade firms with a _____ degree of resource similarity are likely to have similar competitive actions correct answers high a high degree of resource similarity but low market commonality = _______ intensity of rivalry correct answers highest little resource similarity but high market commonality = _____ intensity of rivalry correct answers lowest mercantilism, absolute advantage and comparative advantage belong to what theory of international trade correct answers classical