W3-4 Chapter 3 MC Qu

Which of the following is a function of the International Monetary Fund (IMF)?

It includes foreign borrowing and lending.

In the context of foreign direct investment, which of the following statements is true of a partnership?

It is a formal, long-term agreement.

Identify a true statement about foreign licensing.

It is especially common in the food and beverage industry.

In the context of the strategies for reaching global markets, which of the following statements is true of exporting?

It is the most basic level of international market development.

Identify a true statement about balance of payments.

It typically corresponds to the balance of trade.

In the context of foreign direct investment, which of the following statements is true of joint ventures?

They are a controversial means of entering foreign markets.

Compared to the United States, China and India have:

higher gross domestic product growth rates

In the context of global trade, a balance of payments deficit means that:

more money flows out than in.

Which of the following statements best supports the concept of countertrade?

Barter opportunities tend to increase during economic downturns.