C211 (Global Economics for Managers) OA
QUESTIONS AND ANSWERS 100% VERIFIED.
Consumer surplus is measured in the area _____ the demand curve, _______
the price, _______ the quantity consumed
Correct Answer -under DC, above price, up to quantity consumed
the benefit sellers receive from participating in a market
Correct Answer -producer surplus
producer surplus is measured in the area ______ the supply curve, _____ the
price, ______ the quantity supplied
Correct Answer -above, below price, up to
total surplus equation
Correct Answer -value to buyers - cost to sellers
the study of economy wide phenomena such as inflation, unemployment
and economic growth
Correct Answer -macroeconomics
the study of how households and firms make decisions and how they
interact in markets
Correct Answer -microeconomics
income must _______ expenditure in an economy
Correct Answer -equal
,the market value of all final goods and services produced within the border
of a given country during a specified period of time
Correct Answer -gross domestic product
gross domestic product measures what two things?
Correct Answer -total amount of expenditures and total income of everyone
in the economy
4 components of GDP
Correct Answer -1. consumption
2. investment
3. government purchases
4. net exports (exports minus imports)
which payments are not counted in government expenditures?
Correct Answer -transfer payments, social security
a tax on goods produced abroad and sold domestically
Correct Answer -tariff
a method used to restrict international trade by taxing imported goods
Correct Answer -tariff
the fall in total surplus that results from a tax
Correct Answer -deadweight loss
, financial environment in which exchange rates and payments for goods and
services are conducted
Correct Answer -international monetary system
what happens to a country's real exchange rate and nominal interest rate as
the price level increases
Correct Answer -exchange rates depreciate, interest rates increase
easiest method non financial companies use to handle currency
fluctuations
Correct Answer -currency diversification
strategy that minimizes the risk of unanticipated changes in future exchange
rates
Correct Answer -currency swap
a non equity arrangement for a company contemplating entry into a foreign
market
Correct Answer -licensing
What size commitment is required for a non-equity mode of entry into a
foreign market?
Correct Answer -small
two supportive pillars of an informal institution
Correct Answer -normative and cognitive
QUESTIONS AND ANSWERS 100% VERIFIED.
Consumer surplus is measured in the area _____ the demand curve, _______
the price, _______ the quantity consumed
Correct Answer -under DC, above price, up to quantity consumed
the benefit sellers receive from participating in a market
Correct Answer -producer surplus
producer surplus is measured in the area ______ the supply curve, _____ the
price, ______ the quantity supplied
Correct Answer -above, below price, up to
total surplus equation
Correct Answer -value to buyers - cost to sellers
the study of economy wide phenomena such as inflation, unemployment
and economic growth
Correct Answer -macroeconomics
the study of how households and firms make decisions and how they
interact in markets
Correct Answer -microeconomics
income must _______ expenditure in an economy
Correct Answer -equal
,the market value of all final goods and services produced within the border
of a given country during a specified period of time
Correct Answer -gross domestic product
gross domestic product measures what two things?
Correct Answer -total amount of expenditures and total income of everyone
in the economy
4 components of GDP
Correct Answer -1. consumption
2. investment
3. government purchases
4. net exports (exports minus imports)
which payments are not counted in government expenditures?
Correct Answer -transfer payments, social security
a tax on goods produced abroad and sold domestically
Correct Answer -tariff
a method used to restrict international trade by taxing imported goods
Correct Answer -tariff
the fall in total surplus that results from a tax
Correct Answer -deadweight loss
, financial environment in which exchange rates and payments for goods and
services are conducted
Correct Answer -international monetary system
what happens to a country's real exchange rate and nominal interest rate as
the price level increases
Correct Answer -exchange rates depreciate, interest rates increase
easiest method non financial companies use to handle currency
fluctuations
Correct Answer -currency diversification
strategy that minimizes the risk of unanticipated changes in future exchange
rates
Correct Answer -currency swap
a non equity arrangement for a company contemplating entry into a foreign
market
Correct Answer -licensing
What size commitment is required for a non-equity mode of entry into a
foreign market?
Correct Answer -small
two supportive pillars of an informal institution
Correct Answer -normative and cognitive
