POS 160 Ch 8 Final

the Group of Seven (comprising the United States, Japan, Germany, the United Kingdom, France, Italy, and Canada), which first met in a. 1975. b. 1985. c. 1996. d. 2008.

a. 1975.

Two examples from the 1880s of globalized goods are a. Campbell's and Heinz b. IKEA and McDonald's c. Nescafé and Ford d. Dole and Heinz

a. Campbell's and Heinz

__________ of borders is NOT one of the ways in which the globalization of trade and finance has been conceived? a. Closing b. Crossing c. Opening d. Transcendence

a. Closing

The global economic collapse that ensued following the Wall Street stock market crash in October 1929 was called the a. Great Depression b. World Economic Decline c. Financial Meltdown of 1929 d. Great Recession

a. Great Depression

Which two economists helped to create the Bretton Woods system? a. Keynes and White b. Smithson and Morgenthau c. Galbraith and Bernstein d. Hunter and Garcia

a. Keynes and White

The Marshall Plan was a. a program of financial and other economic aid for Europe after the Second World War. b. intended to resolve the Latin American debt crisis of the 1980s. c. design to stop Communist influence in Southeast Asia. d. the follow-on aid to implement the Dawes Plan.

a. a program of financial and other economic aid for Europe after the Second World War.

The central demand of the Third World-led New International Economic Order (NIEO) was a. action to end the persistence of poverty. b. action to end the persistence of colonial memories and bias. c. free market trade liberalization. d. action to reduce non-tariff barriers.

a. action to end the persistence of poverty.

The success of OPEC inspired other commodity-producing countries to think about establishing __________ to increase the prices of coffee, tin, rubber, and other exports from developing state? a. cartels b. market-capture growth models c. Ricardo growth d. labor intensive-led growth

a. cartels

"Brexit" refers to the a. exit of the United Kingdom from the European Union. b. United Kingdom opting out of the Trans Pacific Partnership since it is no longer a global economic power. c. United Kingdom quitting GATT to join EFTA. d. United Kingdom the EU to join the new Atlantic Charter with the United States.

a. exit of the United Kingdom from the European Union.

The International Bank of Reconstruction and Development was initially tasked with which of the following? a. facilitating private investment and reconstruction after the Second World War b. aiding the Third World after Second World War c. assisting in the decolonization process d. encouraging consumer spending after Second World War

a. facilitating private investment and reconstruction after the Second World War

What term refers to the international transfer of goods and services within transborder companies? a. intrafirm trade b. flexing labor forces c. global production d. triangulation

a. intrafirm trade

Regional frameworks like the European Union and North American Free Trade Agreement have removed (to varying degrees) __________ between participating countries. a. official restrictions on trade b. trade socialism c. labor activism d. industrial favoritism

a. official restrictions on trade

Many governments have actively lured externally based business by lowering corporate tax rates, __________, and relaxing labor and environmental standards. a. reducing restrictions on the repatriation of profits b. increasing restrictions on the repatriation of profits c. providing preferred housing to outsourcers d. opting out of cartelized preference schemes

a. reducing restrictions on the repatriation of profits

Which term best describes economic decision making in China? a. state capitalism b. Iron Law of Wages c. 100 Flowers Blooming d. New Economic Plan (NEP)

a. state capitalism

The measures imposed on developing and indebted countries to reduce inflation, restrain government expenditure, and increase trade liberalization and privatization are called a. structural adjustment programs. b. deregulation. c. the Marshall Plan. d. the Washington Consensus.

a. structural adjustment programs.

The term __________ is used to describe a situation in which a single process is spread across several countries. a. "organized economics" b. "transborder production" c. "global sourcing" d. "transborder agency"

b. "transborder production"

In what year did the Bretton Woods system begin operations? a. 1929 b. 1947 c. 1966 d. 1995

b. 1947

__________ is often connected with the concept of "economic liberalism." a. Lassiter Smith b. Adam Smith c. Milton Friedman d. Lionel Hampton

b. Adam Smith

The WTO has a dispute-resolution panel called a. Bank of International Settlement. b. Dispute Settlement Body. c. Trade Dispute Review Board. d. Board to Investigate Trade Problems.

b. Dispute Settlement Body.

In 1947, which organization became the forum for negotiations on trade liberalization? a. World Bank b. GATT c. WTO d. IBRD

b. GATT

What organization brought major reductions in customs duties, quotas, and other measures that previously inhibited cross-border movement of merchandise? a. IBRD b. GATT/WTO c. IMF d. UNCTAD

b. GATT/WTO

What was the name of the US-led and funded plan for reconstructing post-war Europe? a. Truman Doctrine b. Marshall Plan c. Bretton Woods system d. Structural Adjustment Plan

b. Marshall Plan

What was the Bretton Woods system designed to prevent? a. the expansion of the gold to dollar standard b. another Great Depression c. the sale of complex financial instruments called "derivatives" d. speculation in the markets for both gold and silver

b. another Great Depression

Proponents of which academic approach might "we cannot know what we want unless we know who we are"? a. realism b. constructivism c. institutionalism d. globalism

b. constructivism

The Trans-Pacific Partnership was intended to a. help defray the long-term combined costs of the Vietnam War and the Great Society programs. b. counter the attempt by China's government to create its now set of trade rules for the region. c. expand the economic clout of ASEAN. d. reduce the effects of the Smithsonian Agreement.

b. counter the attempt by China's government to create its now set of trade rules for the region.

The system whereby the United States became the world's "central bank" and backed the dollar with gold is/was called the a. greenback standard. b. dollar standard. c. metallic standard. d. Washington Consensus.

b. dollar standard.

Many __________ believe that governments and states are losing their capacity to control economic interactions. a. constructivists b. globalists c. autarchists d. developmentalists

b. globalists

Critics have suggested that __________ large corporations and encourage companies to move jobs overseas. a. most free trade agreements harm b. most free trade agreements favor c. non-tariff barriers favor d. trade maladjustment encourages

b. most free trade agreements favor

Most firms involved in global trade "have a __________ board of directors." a. penurious b. non-national c. parsimonious d. structurally adjusted

b. non-national

Recent decades have witnessed the widespread __________ flows. a. closing of borders to investment b. opening of borders to investment c. increasing trade and therefore industrial sewage d. opening of internet-related travel

b. opening of borders to investment

The government policy of discouraging imports through the imposition of tariffs and non-tariff barriers is called a. autarchy. b. protectionism. c. coaxial refinement. d. development assistance.

b. protectionism.

The broadly adopted neoliberal approach that advocates the rollback of the state, leaving decisions about allocation, production, and distribution to the market, came to be known as a. the Marshall Plan. b. the Washington Consensus. c. structural adjustment. d. deregulation.

b. the Washington Consensus.

What is the name given to removal of barriers, such as the removal or reduction of tariffs or quotas on the trading of specific goods, to stimulate free trade? a. structural adjustment policy b. trade liberalization c. neomercantilism d. mercantilism

b. trade liberalization

What era saw a nearly 40-year wave of protectionism? a. 1890-1913 b. 1950-1979 c. 1914-1950 d. 1929-1979

c. 1914-1950

In __________, the United States ended the system of __________ exchange rates based on the convertibility of the US dollar to $35 per ounce of gold. a. 1971 . . . floating b. 1969 . . . arbitrary c. 1971 . . . fixed d. 1962 . . . fixed

c. 1971 . . . fixed

GATT, IBRD, and the IMF were the three institutions of what post-Second World War system? a. WTO b. Global Bank system c. Bretton Woods d. Basel Convention on Banking

c. Bretton Woods

The WTO replaced which organization? a. IMF b. IBRD c. GATT d. the entire Bretton Woods system

c. GATT

The Marshall Plan and the Dodge Line challenged the strict loan requirements which organization? a. Group of 7 b. Group of 20 c. IMF and World Bank Group d. Containment Marketing Group

c. IMF and World Bank Group

What organization promotes development in medium- and low-income countries with project loans, structural adjustment programs, and various advisory services? a. Grameen Bank b. Green Bank c. World Bank Group d. Global Bank Group

c. World Bank Group

What international monetary system did the dollar standard replace? a. pound standard b. currency basket standard c. gold standard d. ruble standard

c. gold standard

Which of the following is not one of the four aspects of globalization as outlined in the text? a. liberalization b. internationalization c. internalization d. deterritorialization

c. internalization

Pax Americana refers to the a. period from 1981 to 1992 when Presidents Reagan and George H. W. Bush advocated higher tariffs as a means of bringing peace to global trade relations. b. imaginary US hegemonic control over the Western hemispheric landmass. c. liberal economic model the permitted various forms of capitalism and a range of trade policies. d. 42 years of US-lead dominance over OECD and EFTA policies.

c. liberal economic model the permitted various forms of capitalism and a range of trade policies.

The __________ tradition focuses on the ability of states to be economically independent, a condition often called "economic nationalism." a. Marxist b. constructivist c. mercantilist d. liberal

c. mercantilist

In 1995, the GATT became a. the G8. b. the New International Economic Order (NIEO). c. the World Trade Organization (WTO). d. the International Trade Court.

c. the World Trade Organization (WTO).

Which traditional approach to international economics shares the central presumptions of realism? a. the liberal tradition b. the Marxist tradition c. the mercantilist tradition d. the neorealist tradition

c. the mercantilist tradition

Protectionism includes all of the following EXCEPT a. tariffs. b. non-tariff barriers. c. unmitigated trade. d. domestic subsidies.

c. unmitigated trade.

In what year was the World Trade Organization (WTO) inaugurated? a. 1948 b. 1983 c. 1987 d. 1995

d. 1995

__________ was the dominant state international economic program during the period 1929-1933. a. Austerity b. Free trade c. Economic liberalism d. A form of mercantilism

d. A form of mercantilism

Since 1971 the transborder cyberspatial network __________ has had no central meeting place at all. a. Daiwa Securities b. Gramsci-Kleinwart c. IBEX/IBIS d. NASDAQ

d. NASDAQ

Local peculiarities have often affected the way a global product is sold and used in different places. For example, __________ has often been adjusted to local tastes to be more effective. a. a specific tariff b. retrenchment c. packaging d. advertising

d. advertising

The NIEO included which of the following goals? a. better representation in international economic institutions b. a fairer trading system c. protection of economic sovereignty d. all of the above

d. all of the above

When the World Trade Organization began its work in 1995, it faced many new kinds of issues. These included a. food safety. b. trade-related property rights. c. intellectual property rights. d. all of the above

d. all of the above

What term refers to the degree to which articles, communications, financial instruments, fixed assets, and people can circulate throughout the world economy, free from state-imposed controls? a. autarchy b. semiperiphery market shares c. internationalization d. globalization

d. globalization

The Bretton Woods system established a(n) a. international system without colonies. b. Global North-South international system. c. bipolar international system. d. international political economic system.

d. international political economic system.

The __________ tradition of IPE focuses on the ability of institutions to foster trade on the open global market. a. Marxist b. constructivist c. mercantilist d. liberal

d. liberal

The WTO covers services, intellectual property, and investment issues as well as a. shipping lanes. b. trade in endangered species. c. trade of illegal substances. d. merchandise trade.

d. merchandise trade

"Global sourcing" refers to a. the core and periphery in the international system. b. the transfer of funds to the Third World. c. system-wide exploitation of workers' wages, benefits, and conditions. d. obtaining goods and services across geopolitical boundaries.

d. obtaining goods and services across geopolitical boundaries.

The counterpart the Marshall Plan was called __________ and provided capital to __________. a. the Dodge Line . . . British firms seeking to expand into Asian markets b. Regime-dominant functionality . . . G-7 states c. the IMF SAP programs . . . Japan d. the Dodge Line . . . Japan

d. the Dodge Line . . . Japan

Developing states began criticizing __________ at the Summit of Non-Aligned Nations in Algiers in 1973. a. intergovernmental forum exclusivity b. state partnership assemblies c. Wallerstein's concept of world-system d. the liberal economic order

d. the liberal economic order

Economic globalization often causes __________ within and between states. a. high GDP growth b. social development c. high inflation d. wage stagnation and growth in inequality

d. wage stagnation and growth in inequality