Economics exam written exam
Which of the following is not a characteristic of a developing nation?
a. high literacy rate
b. rapid population growth
c. poor health conditions
d. an agricultural economy
high literacy rate
The three stages of economic development occur in what order?
a. agricultural stage, manufacturing stage, service stage
b. agricultural stage, manufacturing stage, computer stage
c. agricultural stage, service stage, manufacturing stage
d. manufacturing stage, service stage, agricultural stage
agricultural stage, manufacturing stage, service stage
When a nation takes over an industry and forces the firm's owners out of the country, it is called
a. privatization.
b. nationalization.
c. foreign aid.
d. economic exile
nationalization
Aid given to developing nations that comes in the form of engineers, teachers, and technicians to teach skills is
a. technical assistance.
b. military assistance.
c. economic assistance.
d. educational assistance.
technical assistance
The United States has given developing nations monetary assistance
a. to increase our own national security.
b. to expand our markets for exports.
c. to enhance the appeal of democracy and prevent Communism from coming to power.
d. All choices are correct.
all choices are correct
When trade restrictions are used by a developing nation, it
a. lowers taxes.
b. increases growth.
c. retards growth.
d. increases trade.
retards growth
A vicious cycle of poverty is a
a. a country that has a high crime rate because it is poor.
b. theory that poverty can only be overcome by state planning.
,c. theory that poverty exists because people are greedy.
d. theory that poor nations are poor because they don't invest and save, and that they can't invest and save because
they are poor.
theory that poor nations are poor because they don't invest and save, and that they can't invest and save because
they are poor.
Globalization began when
a. NAFTA was enacted.
b. The World Trade Organization was created.
c. corporations began to enter foreign countries.
d. U.S. banks developed worldwide branch networks for loans and foreign exchange trading.
U.S. banks developed worldwide branch networks for loans and foreign exchange trading.
When the U.S. stock market falters, other nations' stock markets
a. are unaffected.
b. also falter.
c. benefit.
d. are closed as a precaution
also falter
The total share of foreign ownership of American industries is about
a. 2%.
b. 6%.
c. 25%.
d. 10%.
6%
The United States' share of worldwide direct investment is about
a. 25%.
b. 40%.
c. 60%.
d. 10%.
40%
When firms from different countries work together in a joint venture, it is referred to as a/an
a. multinational firm.
b. alliance.
c. blended deal.
d. global venture.
alliance
What invention brought about the digital age?
a. computers
b. the microchip
c. television
d. the World Wide Web
the microchip
, E-commerce shifts the balance of power to
a. the government.
b. Internet providers.
c. the customer.
d. the business.
the customer
The economist Joseph Schumpeter suggested that business cycles are triggered by
a. government policy.
b. labor strikes.
c. innovations.
d. capital accumulation.
innovations
An example of the difficulty of protecting intellectual property on the Internet would be
a. web cams.
b. day trading.
c. the copying of music from file-sharing services.
d. the proliferation of plagiarized papers.
the copying of music from file-sharing services
We are forced to make choices because
a. not everything is limited.
b. shortages are a constant situation.
c. we live in a democracy.
d. all resources are limited.
all resources are limited
The four factors of production are the resources of land, labor, capital, and
a. services.
b. entrepreneurship.
c. technology.
d. goods.
entrepreneurship
A truck used by a plumber is a type of
a. capital.
b. labor.
c. raw good.
d. modus transportius.
capital
The value of the next best alternative that had to be given up to do the action that was chosen is the
a. sale price.
b. trade-off.
c. opportunity cost.
d. capital.
opportunity cost
Which of the following is not a characteristic of a developing nation?
a. high literacy rate
b. rapid population growth
c. poor health conditions
d. an agricultural economy
high literacy rate
The three stages of economic development occur in what order?
a. agricultural stage, manufacturing stage, service stage
b. agricultural stage, manufacturing stage, computer stage
c. agricultural stage, service stage, manufacturing stage
d. manufacturing stage, service stage, agricultural stage
agricultural stage, manufacturing stage, service stage
When a nation takes over an industry and forces the firm's owners out of the country, it is called
a. privatization.
b. nationalization.
c. foreign aid.
d. economic exile
nationalization
Aid given to developing nations that comes in the form of engineers, teachers, and technicians to teach skills is
a. technical assistance.
b. military assistance.
c. economic assistance.
d. educational assistance.
technical assistance
The United States has given developing nations monetary assistance
a. to increase our own national security.
b. to expand our markets for exports.
c. to enhance the appeal of democracy and prevent Communism from coming to power.
d. All choices are correct.
all choices are correct
When trade restrictions are used by a developing nation, it
a. lowers taxes.
b. increases growth.
c. retards growth.
d. increases trade.
retards growth
A vicious cycle of poverty is a
a. a country that has a high crime rate because it is poor.
b. theory that poverty can only be overcome by state planning.
,c. theory that poverty exists because people are greedy.
d. theory that poor nations are poor because they don't invest and save, and that they can't invest and save because
they are poor.
theory that poor nations are poor because they don't invest and save, and that they can't invest and save because
they are poor.
Globalization began when
a. NAFTA was enacted.
b. The World Trade Organization was created.
c. corporations began to enter foreign countries.
d. U.S. banks developed worldwide branch networks for loans and foreign exchange trading.
U.S. banks developed worldwide branch networks for loans and foreign exchange trading.
When the U.S. stock market falters, other nations' stock markets
a. are unaffected.
b. also falter.
c. benefit.
d. are closed as a precaution
also falter
The total share of foreign ownership of American industries is about
a. 2%.
b. 6%.
c. 25%.
d. 10%.
6%
The United States' share of worldwide direct investment is about
a. 25%.
b. 40%.
c. 60%.
d. 10%.
40%
When firms from different countries work together in a joint venture, it is referred to as a/an
a. multinational firm.
b. alliance.
c. blended deal.
d. global venture.
alliance
What invention brought about the digital age?
a. computers
b. the microchip
c. television
d. the World Wide Web
the microchip
, E-commerce shifts the balance of power to
a. the government.
b. Internet providers.
c. the customer.
d. the business.
the customer
The economist Joseph Schumpeter suggested that business cycles are triggered by
a. government policy.
b. labor strikes.
c. innovations.
d. capital accumulation.
innovations
An example of the difficulty of protecting intellectual property on the Internet would be
a. web cams.
b. day trading.
c. the copying of music from file-sharing services.
d. the proliferation of plagiarized papers.
the copying of music from file-sharing services
We are forced to make choices because
a. not everything is limited.
b. shortages are a constant situation.
c. we live in a democracy.
d. all resources are limited.
all resources are limited
The four factors of production are the resources of land, labor, capital, and
a. services.
b. entrepreneurship.
c. technology.
d. goods.
entrepreneurship
A truck used by a plumber is a type of
a. capital.
b. labor.
c. raw good.
d. modus transportius.
capital
The value of the next best alternative that had to be given up to do the action that was chosen is the
a. sale price.
b. trade-off.
c. opportunity cost.
d. capital.
opportunity cost
