Question 1

One view of globalization claims that human civilization has always had some type of globalization.Which view is it?

Options :

A : The modern institutional view

B : The short-run economic view

C : The long-run historical view

D : The technological convergence view

Answer: C

Question 2

What are properties of a typical indifference curve? (Choose TWO.)

Options :

A : Higher indifference curves are preferred to lower ones.

B : Indifference curves can intersect.

C : Indifference curves do not cross.

D : Indifference curves slope upward.

Answer: A,C

Question 3

What is one of the three primary types of foreign exchange transactions?

Options :

A : Hedges

B : Forward transactions

C : Balanced transactions

D : Straddles

Answer: B

Question 4

What does the term resource mobility describe?

Options :

A : The idea that market forces should determine how much to trade with little or no governmentintervention

B : The assumption that a resource removed from one industry can be moved to another

C : An economic condition in which a nation exports more than it imports

D : The idea that governments should actively defend domestic industries from imports and vigorouslypromote the export of resources

Answer: B

Question 5

What are costs to home countries of foreign direct investment (FDI)? (Choose TWO.)

Options :

A : Job loss

B : Reduced standard of living

C : Cultural disintegration

D : Capital outflow

E : Loss of sovereignty

F : Loss of intellectual property

Answer: A,D

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