Chapter 1 Globalization
Section A….TRUE AND FALSE.
1) As a result of globalization, we have been moving toward a world in
which national economiesare relatively self-contained entities.
Answer: FALSE
2) To truly ben
...
Chapter 1 Globalization
Section A….TRUE AND FALSE.
1) As a result of globalization, we have been moving toward a world in
which national economiesare relatively self-contained entities.
Answer: FALSE
2) To truly benefit from globalization, a firm needs to be a multinational
conglomerate rather thana small or mid-size company.
Answer: FALSE
3)In today's marketplace, outsourcing efforts are confined to manufacturing
activities.
Answer: FALSE
4) The World Trade Organization, the International Monetary Fund and its
sister institution theWorld Bank, and the United Nations were all created by
voluntary agreement between individualnation-states.
Answer: TRUE
5) The WTO polices the world trading system, and without this
organization, the globalization ofmarkets might not be where it is today.
Answer: TRUE
6) Foreign direct investment (FDI) occurs when a firm invests resources
in business activitiesoutside its home country.
Answer: TRUE
7) The retaliatory trade policies of the 1920s and 1930s contributed to the Great
Depression.
Answer: TRUE
8) The Uruguay Round extended GATT to cover services as well as
manufactured goods.
Answer: TRUE
9) Enhanced protection for patents and trademarks was one focus of the
Uruguay Round.
Answer: TRUE
10) The lowering of trade and investment barriers creates more
opportunities for companies tohave the world as their market.
Answer: TRUE
11)In recent years, the economies of the world's nation-states have become
less intertwined as aresult of international trade.
Answer: FALSE
12) The United Nations created the Millennium Development Goals to
increase the number ofentrepreneurial activities around the world.
Answer: FALSE
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