Question 1

For the United States,jobs in exporting industries typically pay about 15 percent less than jobs in import-competing industries.

Accepted Answer

A) True 
 B)False

Question 2

With globalization and import competition,U.S.prices have generally:

Accepted Answer

A)   increased
B)   decreased
C)   remained stable
D)   all of these at various timesE) B) and C)
F) C) and D)

Question 3

If a nation has an open economy,it means that the nation:

Accepted Answer

A)   Allows private ownership of capital
B)   Has flexible exchange rates
C)   Has fixed exchange rates
D)   Conducts trade with other countriesE) A) and D)
F) None of the above

Question 4

Economic interdependence occurs through

Accepted Answer

A)   trade
B)   labor migratin
C)   capital flows
D)   all of theseE) C) and D)
F) A) and C)

Question 5

Multilateral trade negotiations have led to

Accepted Answer

A)   Continued trade liberalization
B)   Financial liberalization
C)   Increased investment
D)   All of the aboveE) All of the above
F) A) and B)

Question 6

In terms of the value of trade,the most important trading partner of the United States is

Accepted Answer

A)   Germany
B)   Mexico
C)   Japan
D)   CanadaE) All of the above
F) C) and D)

Question 7

A primary reason why nations conduct international trade is because:

Accepted Answer

A)   Some nations prefer to produce one thing while others produce other things
B)   Resources are not equally distributed among all trading nations
C)   Trade enhances opportunities to accumulate profits
D)   Interest rates are not identical in all trading nationsE) A) and B)
F) A) and C)

Question 8

Workers sometimes face demands for wage reductions from their employers,which threaten to export jobs abroad if wage reductions are not accepted.

Accepted Answer

A) True 
 B)False  True

Question 9

Current trade rules permit countries to enact measures to protect the health and safety of their citizens as long as all goods are treated equally,the tobacco companies argue.

Accepted Answer

A) True 
 B)False

Question 10

If a nation has an open economy,it means that the nation allows private ownership of capital.

Accepted Answer

A) True 
 B)False

Question 11

Comparing the 1800s to the 2000s,the "openness ratio" of the United States has

Accepted Answer

A)   decreased
B)   increased
C)   remained constant
D)   cease to existE) B) and D)
F) None of the above

Question 12

The benefits of international trade accrue in the forms of lower domestic prices,development of more efficient methods and new products,and a greater range of consumption choices.

Accepted Answer

A) True 
 B)False

Question 13

In an open trading system,a country will import those commodities that it produces at relatively low cost while exporting commodities that can be produced at relatively high cost.

Accepted Answer

A) True 
 B)False

Question 14

The largest amount of trade with the United States in recent years has been conducted by:

Accepted Answer

A)   Canada
B)   Germany
C)   Chile
D)   United KingdomE) A) and B)
F) None of the above

Question 15

The first wave of globalization was brought to an end by

Accepted Answer

A)   The Great Depression
B)   The Second World War
C)   The First World War
D)   The Smoot-Hawley ActE) A) and C)
F) A) and B) C

Question 16

During the last century,the relative importance of international trade for the U.S.has:

Accepted Answer

A)   significantly increased
B)   slightly increased
C)   significantly decreased
D)   slightly decreasedE) C) and D)
F) A) and B)

Question 17

Increased foreign competition tends to increase profits of domestic import-competing companies.

Accepted Answer

A) True 
 B)False

Question 18

Concerning the value of trade (exports and imports) ,the top three countries which the United States trades includes

Accepted Answer

A)   Mexico,Canada,and Germany
B)   Canada,United Kingdom,and Japan
C)   Mexico,Brazil,and South Korea
D)   Canada,China,and MexicoE) B) and C)
F) C) and D) D

Question 19

Increased foreign competition tends to:

Accepted Answer

A)   Intensify inflationary pressures at home
B)   Induce falling output per worker-hour for domestic workers
C)   Place constraints on the wages of domestic workers
D)   Increase profits of domestic import-competing industriesE) A) and B)
F) A) and D)

Question 20

As a percentage of GDP,U.S.exports plus imports currently equal about

Accepted Answer

A)   5 percent
B)   10 percent
C)   18 percent
D)   32 percentE) A) and B)
F) B) and C)

Exam 1: The International Economy and Globalization

For the United States,jobs in exporting industries typically pay about 15 percent less than jobs in import-competing industries.

Correct AnswerverifiedShow Answer

With globalization and import competition,U.S.prices have generally:

Correct AnswerverifiedShow Answer

If a nation has an open economy,it means that the nation:

Correct AnswerverifiedShow Answer

Economic interdependence occurs through

Correct AnswerverifiedShow Answer

Multilateral trade negotiations have led to

Correct AnswerverifiedShow Answer

In terms of the value of trade,the most important trading partner of the United States is

Correct AnswerverifiedShow Answer

A primary reason why nations conduct international trade is because:

Correct AnswerverifiedShow Answer

Workers sometimes face demands for wage reductions from their employers,which threaten to export jobs abroad if wage reductions are not accepted.

Correct AnswerverifiedTrue

Current trade rules permit countries to enact measures to protect the health and safety of their citizens as long as all goods are treated equally,the tobacco companies argue.

Correct AnswerverifiedShow Answer

If a nation has an open economy,it means that the nation allows private ownership of capital.

Correct AnswerverifiedShow Answer

Comparing the 1800s to the 2000s,the "openness ratio" of the United States has

Correct AnswerverifiedShow Answer

The benefits of international trade accrue in the forms of lower domestic prices,development of more efficient methods and new products,and a greater range of consumption choices.

Correct AnswerverifiedShow Answer

In an open trading system,a country will import those commodities that it produces at relatively low cost while exporting commodities that can be produced at relatively high cost.

Correct AnswerverifiedShow Answer

The largest amount of trade with the United States in recent years has been conducted by:

Correct AnswerverifiedShow Answer

The first wave of globalization was brought to an end by

Correct AnswerverifiedC

During the last century,the relative importance of international trade for the U.S.has:

Correct AnswerverifiedShow Answer

Increased foreign competition tends to increase profits of domestic import-competing companies.

Correct AnswerverifiedShow Answer

Concerning the value of trade (exports and imports) ,the top three countries which the United States trades includes

Correct AnswerverifiedD

Increased foreign competition tends to:

Correct AnswerverifiedShow Answer

As a percentage of GDP,U.S.exports plus imports currently equal about

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
C

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
D

Correct Answer
verified

Correct Answer
verified