Global Business Chapter 2 Quiz

Which of the following is a more attractive place to do business? Multiple Choice A nation that lacks democratic institutions A nation where economic activity is regulated by the state A nation with a market-based economic system A nation where the rule of law does not take precedence over business

A nation with a market-based economic system

Which of these is a characteristic of a pure command economy? Multiple Choice All businesses are owned by the state. There is free and fair competition between private producers. The goods and services that a country produces are planned by consumers. Prices are determined by market forces.

All businesses are owned by the state.

Which of the following philosophies can be traced back to the ancient Greek philosopher Plato? Multiple Choice Collectivism Individualism Hedonism Socialism

Collectivism

A civil law system tends to be more adversarial than a common law system. Group starts True or False

False

A common feature of many right-wing dictatorships is that they support socialist or communist ideas. Group starts True or False

False

In a command economy, certain sectors of the economy are left to private ownership and free market mechanisms, while other sectors have significant state ownership and government planning. Group starts True or False

False

Since the demise of communism in the late 1980s, the number of command economies has risen dramatically. Group starts True or False

False

________ refers to a philosophy that a person should have freedom in his or her economic and political pursuits. Multiple Choice Collectivism Totalitarianism Socialism Individualism

Individualism

Which of the following is a feature of right-wing totalitarianism? Multiple Choice Monopoly of a group/party that represents the interests of a particular tribe. Governance by a single party, group, or individual based on religious principles. Provision of partial individual economic freedom along with restricted individual political freedom. Involvement of people in the government, exercised either directly or through elected representatives.

Provision of partial individual economic freedom along with restricted individual political freedom.

________ is the extortion of income or resources of property holders by public officials such as politicians and government bureaucrats. Multiple Choice Private action Corruptive action Civil action Public action

Public Action

Which of the following statements is true about trademarks? Multiple Choice Trademarks are designs and names by which businesses differentiate their products. Trademarks are the exclusive legal rights of authors, composers, playwrights, artists, and publishers to publish and disperse their work as they see fit. Trademarks grant the inventor of a new product or process exclusive rights for a defined period to the manufacture, use, or sale of that invention. Trademarks specify certain safety standards to which a product must adhere.

Trademarks are designs and names by which businesses differentiate their products.

In a market economy, a supply restriction occurs when a single firm monopolizes a market. Group starts True or False

True

In the early twentieth century, the socialist ideology split into two broad camps: communists and social democrats. Group starts True or False

True

The common law system is Multiple Choice not as flexible as other systems. based on tradition, precedent, and custom. open to giving judges the power only to apply the law. based on a detailed set of laws organized into codes.

based on tradition, precedent, and custom.

Historically, command economies were found in ________ countries, where collectivist goals were given priority over individual goals. Multiple Choice democratic communist libertarian free-market

communist

The role of the government in a market economy involves Multiple Choice encouraging vigorous free and fair competition among private producers. mobilizing economic resources of the country for public good. determining the prices at which goods and services will be sold. planning the types and quantities of goods and services to be produced.

encouraging vigorous free and fair competition among private producers.

The benefits, costs, and risks associated with doing business in a country are a function of that country's Multiple Choice political system only. economic system only. legal system only. political, economic, and legal systems.

political, economic, and legal systems.

The ________ committed themselves to achieving socialism without resorting to violent revolution and dictatorship. Multiple Choice communists social democrats Maoists anarchists

social democrats

The government of Iran is ruled by religious figures and they ensure that citizens adhere to Islamic teachings. Iran is a ________ law system. Multiple Choice civil traditional theocratic common

theocratic

Contracts drafted under a common law framework tend to be Multiple Choice very detailed with contingencies spelled out. very short and general in scope. inexpensive to draw up between two parties. inflexible and difficult to adjudicate.

very detailed with contingencies spelled out.