Term
| The aggregation of importing and exporting by both sides leads to a: |
|
Definition
| Both a balance of trade and a trade surplus or deficit |
|
|
Term
| What determines the success and failure of a firm's exports around the globe? |
|
Definition
|
|
Term
| As a major tariff barrier, a(n) ____ is a tax imposed on imports. |
|
Definition
|
|
Term
| Which of the following is a classical theory? |
|
Definition
|
|
Term
| A policy to assist strategic advantage is known as |
|
Definition
|
|
Term
| Widely practiced during the 1600s and 1700s, ____ viewed international trade as a zero-sum game. |
|
Definition
| the theory of mercantilism |
|
|
Term
| The idea that governments should actively protect domestic industries from imports and vigorously promote exports represents |
|
Definition
|
|
Term
| The factor endowment theory is identified as |
|
Definition
| Proposition that nations will develop comparative advantage based on their locally abundant factors |
|
|
Term
| Factor endowments, which refer to the natural and human resource repertoires, were noted by: |
|
Definition
|
|
Term
| The birth of modern economics and the forerunner of the free trade movement are strengths and influences of |
|
Definition
|
|
Term
| A type of FDI in which firms move upstream or downstream in different value chain stages in a host county is identified as |
|
Definition
|
|
Term
| The share of FDI-based value added of foreign affiliates of MNEs in world GDP |
|
Definition
| Rose from 7% in 1990 to 11% in 2010 |
|
|
Term
| MNEs' possession and leveraging of certain valuable, rare, hard-to-imitate, and organizationally embedded (VRIO) assets overseas in the context of FDI refer to |
|
Definition
|
|
Term
| Costs of FDI to home countries primarily center on |
|
Definition
|
|
Term
| What is a sovereign wealth fund |
|
Definition
| A state-owned investment fund funded by foreign exchange assets |
|
|
Term
| Since the 1980s, countries such as Brazil, China, Hungary, India, Ireland, and Russia have adopted |
|
Definition
|
|
Term
| When entering foreign markets, basic entry choices include |
|
Definition
| Exporting, licensing, and FDI |
|
|
Term
| When one firm enters a foreign country through FDI, its rivals are likely to follow by undertaking additional FDI in a host country to |
|
Definition
| Acquire location advantages or neutralize the first mover’s location advantages |
|
|
Term
| ____ suggests that FDI, unrestricted by government intervention, will enable countries to tap into their absolute or comparative advantage by specializing in the production of certain goods or services |
|
Definition
|
|
Term
| A political view that approves FDI only when its benefit outweighs its costs is known as |
|
Definition
|
|
Term
| What is the "law of one price," where the price for identical products in different countries should be the same if trade barriers are absent |
|
Definition
|
|
Term
| ____ is an international organization that was established to promote international monetary cooperation, exchange stability, and orderly exchange arrangements |
|
Definition
| international Monetaery Fund |
|
|
Term
| Which of the following is NOT an advantage of a strong US dollar |
|
Definition
| US firms in import-competing industries face more low-cost imports |
|
|
Term
| Traders and investors trading in a forward transactions market are most concerned about |
|
Definition
|
|
Term
| Which of the following is best defined by "the conversion of one currency into another at Time 1, with an agreement to revert it back to the original currency at a specific Time 2 in the future |
|
Definition
|
|
Term
| Which of the following is NOT one of the three primary activities of the International Monetary Fund |
|
Definition
|
|
Term
| Why was the US dollar chosen as the currency to which other currencies would be pegged |
|
Definition
|
|
Term
| If a country's interest rate is high relative to other countries, the country will |
|
Definition
|
|
Term
| If central bankers raise interest rates to curb inflation, they risk driving currency ____. If their interventions in the foreign exchange market drive the currency ____, they may boost inflation |
|
Definition
|
|
Term
| What measure did worried Latin American governments take to restrain the value of their currencies |
|
Definition
|
|
Term
| Efforts to reduce trade and investment barriers within one region refer to |
|
Definition
| Regional economics integration |
|
|
Term
| Countries benefit from global economic integration politically and economically. Which of the following is an example of a political benefit |
|
Definition
| Promoting peace by promoting trade and investment |
|
|
Term
| The most (in)famous loophole in merchandise trade created through GATT was |
|
Definition
|
|
Term
| What is the main reason the US, Canada, and Australia decided to join the Asia-Pacific Economic Cooperation (APEC |
|
Definition
| == No one wants to be left out of the most dynamic region in the world |
|
|
Term
| Which does “ASEAN” stand for |
|
Definition
| = Association of Southeast Asian Nations |
|
|
Term
| Which of the following regional integrations is more pro-free trade oriented than others |
|
Definition
|
|
Term
| Which of the following best describes the European Union |
|
Definition
| == Pooling of sovereignty into a single, integrated entity |
|
|
Term
| Which of the following is an example of a customs union |
|
Definition
| == Mercosur (Eastern South America) |
|
|
Term
| Which of the following is NOT an economic benefit of global economic integration . |
|
Definition
| == Building confidence in a multilateral trading system |
|
|
Term
| Which of the NAFTA members benefited the most from this free trade agreement by securing preferential treatment for 80% of its exports |
|
Definition
|
|
