POST IBA301 FINAL EXAM Question 1 Which of the following is not characteristic of globalization? National economies are turning into independent economic systems. Material culture is starting to look similar the world over. Perceived distance is shrinking due to advances in transportation and telecommunications. Barriers to cross - border trade and investment are declining. 0.5 points Question 2 Globalization has _____ the opportunities for a firm to expand its revenues by selling around the world and _____ its costs by producing in nations where key inputs are cheap. reduced, reduced increased, increased increased, reduced reduced, increased 0.5 points Question 3 Since the collapse of communism at the end of the 1980s, the erstwhile communist nations have transformed their economies by encouraging all of the following except: privatizing state - owned enterprises. regulating markets. increasing competition. welcoming investment by foreign businesses. 0.5 points Question 4 Identify the incorrect statement concerning globalization. It has been blamed for unemployment in developed nations, environmental degradation and the Americanization of popular culture. It has created new threats for businesses accustomed to dominating their domestic markets. It is transforming industries and is highly welcomed by those who believed their jobs were protected from foreign competition. According to most economists it is a very beneficial process where gains outweigh the losses by a wide margin. 0.5 points Question 5 In the U.S., _____ percent of firms that export are small companies employing fewer than 100 people. 90 75 50 30 0.5 points Question 6 Interdependent political, economic, and legal systems of a country make up its: administrative agenda. socioeconomic fabric. economic environment. political economy. 0.5 points Question 7 _____ is consistent with the notion that an individual's right to do something may be restricted because it runs counter to "the good of society" or "the common good." Entrepreneurship Collectivism Free enterprise Capitalism 0.5 points Question 8 According to _____, socialism can only be achieved through violent revolution. capitalists communists social democrats democrats 0.5 points Question 9 _____ is/are best defined as shared assumptions about how things ought to be. Norms Values Society Culture 0.5 points Question 10 _____ are social conventions concerning things such as the appropriate dress code in a particular situation, good social manners, eating with the correct utensils, neighborly behavior, and the like. Values Beliefs Mores Folkways 0.5 points Question 11 Mores are: the norms that are seen as central to the functioning of a society and its social life. the routine conventions of everyday life. abstract ideas about what a group believes to be right, good, and desirable. the social rules and guidelines that prescribe appropriate behavior in particular situations. 0.5 points Question 12 The theory of _____, developed by Michael Porter, focuses on the importance of country factors, in addition to factor endowments, such as domestic demand and domestic rivalry in explaining a nation's dominance in the production and export of particular products. new trade absolute advantage comparative advantage national competitive advantage 0.5 points Question 13 The theory of _____ makes a crude case for government involvement in promoting exports and limiting imports. mercantilism free trade absolute advantage comparative advantage 0.5 points Question 14 By lowering production costs, _____ help domestic producers compete against foreign imports. tariffs duties