Question 1

The International Monetary Fund promotes trade among member nations by eliminating trade barriers and fostering financial cooperation.

Accepted Answer

A) True 
 B)False  True

Question 2

To reduce dollars flowing out of the country,the United States can take measures like limit the number of foreign cars from Japan that are imported by imposing a(n)

Accepted Answer

A)  quota.
B)  exchange control.
C)  trade deficit.
D)  embargo.
E)  free trade zone.F) A) and E)
G) A) and B)

Question 3

What does the WTO stand for and what does it do?

Accepted Answer

WTO stands for the World Trade Organization.It is an international organization dealing with the rules of trade between nations.Key to the World Trade Organization are the WTO agreements,which are the legal ground rules for international commerce.The goal is to help producers of goods and services and exporters and importers conduct their business.In addition to administering the WTO trade agreements,the WTO presents a forum for trade negotiations,monitors national trade policies,provides technical assistance and training for developing countries,and cooperates with other international organizations.The WTO has also adopted a leadership role in negotiating trade disputes among nations.

Question 4

What is the International Monetary Fund (IMF)and what does it do?

Accepted Answer

The IMF is an organization established i...

Question 5

Which trade alliance/agreement,which represents 54 percent of world GDP,allows businesses to participate in a wide range of its activities?

Accepted Answer

A)  General Agreement on Tariffs and Trade
B)  Asia-Pacific Economic Cooperation
C)  North American Free Trade Agreement
D)  European Union
E)  Free Trade Area of the AmericasF) B) and C)
G) B) and D)

Question 6

The purchase of overseas production and marketing facilities is

Accepted Answer

A)  licensing.
B)  contract manufacturing.
C)  using an export agent.
D)  a direct investment.
E)  exporting.F) A) and B)
G) A) and C)

Question 7

As political barriers to trade fall internationally,new ______ are created for international business.

Accepted Answer

A)  opportunities
B)  threats
C)  strengths
D)  weaknesses
E)  competitionF) A) and E)
G) A) and D)

Question 8

GATT was a precursor to the WTO and provided a forum for tariff negotiations.

Accepted Answer

A) True 
 B)False

Question 9

The Free Trade Area of the Americas effectively united Ireland,Britain,and France into one market.

Accepted Answer

A) True 
 B)False

Question 10

Globalization involves standardizing products for the whole world as if it were a single entity.

Accepted Answer

A) True 
 B)False

Question 11

What are the different international barriers to trade? Give an example of each one.

Accepted Answer

The barriers to international trade are: technological barriers,social and cultural barriers,ethical,legal and political barriers,and economic barriers.Students' answers will vary when providing examples of each type of barrier,but they must be able to explain and defend their answers.

Question 12

Explain the phrase "Think globally,act locally."

Accepted Answer

This refers to the philosophy followed b...

Question 13

Which of the following is formally called the International Bank for Reconstruction and Development?

Accepted Answer

A)  World Bank
B)  International Monetary Fund
C)  European Union
D)  North American Free Trade Agreement
E)  World Trade OrganizationF) A) and B)
G) A) and E)

Question 14

To facilitate free trade among members,the European Union is working toward all of the following except

Accepted Answer

A)  the standardization of business regulations.
B)  the standardization of import duties.
C)  the elimination of customs checks.
D)  the creation of opportunities to trade with countries in South America.
E)  the creation of a standardized currency.F) B) and D)
G) None of the above

Question 15

Licensing is a way of entering the international marketplace without spending large amounts of money abroad.

Accepted Answer

A) True 
 B)False

Question 16

A favorable balance of trade exists when a country

Accepted Answer

A)  imports more than it exports.
B)  exports more than it imports.
C)  sends out more cash than it takes in.
D)  spends more than it saves.
E)  saves more than it spends.F) C) and E)
G) C) and D)

Question 17

A common reason for establishing quotas or tariffs is to prohibit dumping.

Accepted Answer

A) True 
 B)False

Question 18

Should Audiotech consider a joint venture? Should it hire a sales force of people native to the countries it enters?

Accepted Answer

A joint venture would enable Audiotech t...

Question 19

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Accepted Answer

A)  is importing the panels.
B)  is exporting the panels.
C)  has an absolute advantage.
D)  is increasing the trade deficit.
E)  is making a big mistake.F) B) and D)
G) None of the above

Question 20

Around the globe,completely free trade is common.

Accepted Answer

A) True 
 B)False

Exam 3: Business in a Borderless World

The International Monetary Fund promotes trade among member nations by eliminating trade barriers and fostering financial cooperation.

Correct Answer
verified
True

To reduce dollars flowing out of the country,the United States can take measures like limit the number of foreign cars from Japan that are imported by imposing a(n)

Correct Answer
verified

What does the WTO stand for and what does it do?

What is the International Monetary Fund (IMF)and what does it do?

Correct Answer
verified
The IMF is an organization established i...
View Answer

Which trade alliance/agreement,which represents 54 percent of world GDP,allows businesses to participate in a wide range of its activities?

Correct Answer
verified

The purchase of overseas production and marketing facilities is

Correct Answer
verified

As political barriers to trade fall internationally,new ______ are created for international business.

Correct Answer
verified

GATT was a precursor to the WTO and provided a forum for tariff negotiations.

Correct Answer
verified

The Free Trade Area of the Americas effectively united Ireland,Britain,and France into one market.

Correct Answer
verified

Globalization involves standardizing products for the whole world as if it were a single entity.

Correct Answer
verified

What are the different international barriers to trade? Give an example of each one.

Explain the phrase "Think globally,act locally."

Correct Answer
verified
This refers to the philosophy followed b...
View Answer

Which of the following is formally called the International Bank for Reconstruction and Development?

Correct Answer
verified

To facilitate free trade among members,the European Union is working toward all of the following except

Correct Answer
verified

Licensing is a way of entering the international marketplace without spending large amounts of money abroad.

Correct Answer
verified

A favorable balance of trade exists when a country

Correct Answer
verified

A common reason for establishing quotas or tariffs is to prohibit dumping.

Correct Answer
verified

Should Audiotech consider a joint venture? Should it hire a sales force of people native to the countries it enters?

Correct Answer
verified
A joint venture would enable Audiotech t...
View Answer

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Correct Answer
verified

Around the globe,completely free trade is common.

Correct Answer
verified

Exam 3: Business in a Borderless World

The International Monetary Fund promotes trade among member nations by eliminating trade barriers and fostering financial cooperation.

Correct AnswerverifiedTrue

To reduce dollars flowing out of the country,the United States can take measures like limit the number of foreign cars from Japan that are imported by imposing a(n)

Correct AnswerverifiedShow Answer

What does the WTO stand for and what does it do?

What is the International Monetary Fund (IMF)and what does it do?

Correct AnswerverifiedThe IMF is an organization established i...View AnswerShow Answer

Which trade alliance/agreement,which represents 54 percent of world GDP,allows businesses to participate in a wide range of its activities?

Correct AnswerverifiedShow Answer

The purchase of overseas production and marketing facilities is

Correct AnswerverifiedShow Answer

As political barriers to trade fall internationally,new ______ are created for international business.

Correct AnswerverifiedShow Answer

GATT was a precursor to the WTO and provided a forum for tariff negotiations.

Correct AnswerverifiedShow Answer

The Free Trade Area of the Americas effectively united Ireland,Britain,and France into one market.

Correct AnswerverifiedShow Answer

Globalization involves standardizing products for the whole world as if it were a single entity.

Correct AnswerverifiedShow Answer

What are the different international barriers to trade? Give an example of each one.

Explain the phrase "Think globally,act locally."

Correct AnswerverifiedThis refers to the philosophy followed b...View AnswerShow Answer

Which of the following is formally called the International Bank for Reconstruction and Development?

Correct AnswerverifiedShow Answer

To facilitate free trade among members,the European Union is working toward all of the following except

Correct AnswerverifiedShow Answer

Licensing is a way of entering the international marketplace without spending large amounts of money abroad.

Correct AnswerverifiedShow Answer

A favorable balance of trade exists when a country

Correct AnswerverifiedShow Answer

A common reason for establishing quotas or tariffs is to prohibit dumping.

Correct AnswerverifiedShow Answer

Should Audiotech consider a joint venture? Should it hire a sales force of people native to the countries it enters?

Correct AnswerverifiedA joint venture would enable Audiotech t...View AnswerShow Answer

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Correct AnswerverifiedShow Answer

Around the globe,completely free trade is common.

Correct AnswerverifiedShow Answer

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified
The IMF is an organization established i...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
This refers to the philosophy followed b...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
A joint venture would enable Audiotech t...
View Answer

Correct Answer
verified

Correct Answer
verified