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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.

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Top of FormQuestion 1Which 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 pointsQuestion 2Globalization has _____ the opportunities for a firm to expand its revenues by selling around the worldand _____ its costs by producing in nations where key inputs are cheap.reduced, reducedincreased, increasedincreased, reducedreduced, increased0.5 pointsQuestion 3Since the collapse of communism at the end of the 1980s, the erstwhile communist nations havetransformed their economies by encouraging all of the following except:privatizing state-owned enterprises.regulating markets.increasing competition.welcoming investment by foreign businesses.0.5 pointsQuestion 4Identify the incorrect statement concerning globalization.It has been blamed for unemployment in developed nations, environmental degradationand the Americanization of popular culture.It has created new threats for businesses accustomed to dominating their domesticmarkets.It is transforming industries and is highly welcomed by those who believed their jobs wereprotected from foreign competition.According to most economists it is a very beneficial process where gains outweigh thelosses by a wide margin.0.5 point
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