Deck 17: International Political Economy, Transnational Politics, and Looking Ahead

Question 1

According to the Heckscher-Ohlin model,who in the United States should oppose immigration?

A)Real estate developers
B)Bankers
C)Low-skilled workers
D)Silicon Valley entrepreneurs

Answer 1

C

Question 2

Which of the following is an example of comparative advantage?

A)Japan exports cameras to the United States because it produces them with more units of labor.
B)Mauritius exports apparel because it is relatively more efficient at this than agricultural production.
C)Britain imports cars from Germany because the cars it produces require more units of capital.
D)Botswana exports diamonds because it has greater mineral deposits than Ghana.

Answer 2

C

Question 3

Why do host governments allow multinational corporations (MNCs)to make investments?

A)It enhances the competitiveness of local firms.
B)MNCs readily conform to local political norms.
C)The division of benefits is always equitable.
D)MNCs bring technological and managerial expertise.

Answer 3

D

Question 4

The Ricardo-Viner model differs from Stolper-Samuelson in that it:

A)offers no predictions about likely political divisions over trade policy.
B)accounts for the impact of foreign ownership of domestic production.
C)assumes that factors of production are not readily mobile.
D)suggests that the major actors in trade policy debates will be firms.

Question 5

Trade bargaining can resemble a Prisoner's Dilemma because:

A)two trading countries will be worse off if they trade with one another.
B)each country fears the other will impose tariffs or nontariff barriers.
C)institutions guarantee that other states will comply with a trade agreement.
D)countries can become trapped in free-trade agreements they cannot leave.

Question 6

Which of the following is a way institutions make trade cooperation easier for states?

A)Confining negotiations to one issue-area
B)Increasing the number of participants in negotiation
C)Raising the possibility of future negotiations on trade issues
D)Creating uncertainty about rules violations

Question 7

How are the financial crises of the 1990s and the 2000s similar?

A)The crises were primarily started in lesser-developed countries.
B)The crises were precipitated by runaway monetary policy when the governments continually devalued their currencies.
C)The major originators of the financial crises had borrowed beyond what became sustainable for their capacities.
D)Countries were able to overcome the collective action problem and collectively default on their loans.

Question 8

Domestic conflicts over trade liberalization in industrialized countries may be eased by:

A)labor-saving technological changes.
B)social service and job training spending.
C)subsidies to exporters.
D)tightening of monetary policy.

Question 9

Which of the following international transactions grants the investor the least control?

A)Portfolio investment
B)Concessional lending
C)Foreign direct investment
D)Conditional lending

Question 10

The Heckscher-Ohlin theory accounts for which of the following in explaining what countries trade?

A)Cross-border transactions within individual firms
B)The impact of political risk on trade flows
C)Simultaneous import and export of similar goods
D)Factor endowments of states and their trading partners

Question 11

Which of the following groups should oppose tariffs in a Stolper-Samuelson framework?

A)Steelworkers in the United States
B)Engineers in Mexico
C)Miners in England
D)Apparel workers in China

Question 12

Which of the following describes the evolution of trade policy in developing countries since 1945?

A)Newly independent states in Africa adopted free trade immediately.
B)Authoritarian states have led liberalization efforts in order to bolster industrial production.
C)Democratization has allowed unskilled labor to lobby for openness.
D)Economic development has diminished the need for integration in world markets.

Question 13

What is true of economic globalization?

A)Economic globalization has been increasing for the whole of human history.
B)It is no longer possible for economic globalization to recede internationally.
C)Economic globalization faced reverses during the interwar period.
D)When countries embrace economic globalization,they tend to liberalize all goods within their economies.

Question 14

Which of the following is a Bretton Woods institution?

A)The North Atlantic Treaty Organization
B)The International Monetary Fund
C)The International Criminal Court
D)The United Nations

Question 15

Why did developing countries become more welcoming to MNCs in the 1980s?

A)Decline of portfolio capital and loan flows
B)MNCs had no recent track record of interference in host country domestic politics.
C)Desire to balance increasing inward focus by developing countries in trade policy
D)Increased regulation of MNC activity by international institutions

Question 16

Why is international finance desirable for borrowing countries?

A)International finance allows capital-abundant societies to fetch higher rates of return on the provision of capital.
B)International finance allows capital-starved societies to achieve better bargains than what is available domestically.
C)International finance can force borrowing countries to privatize their industries.
D)International finance can encourage borrowing countries to liberalize trade,despite domestic pressure.

Question 17

Why does the International Monetary Fund (IMF)encourage liberalization in the face of a financial crisis?

A)Liberalization helps import-competing industries.
B)Liberalization can only occur in conjunction with a financial crisis of sufficient size.
C)Liberalization leads to a more efficient allocation of resources.
D)Liberalization rapidly boosts employment.

Question 18

What makes international finance controversial politically?

A)Borrower countries welcome capital inflows,but can find debt service to be painful.
B)The benefits of international borrowing are not spread evenly within debtor countries.
C)Groups in lending countries may oppose capital going abroad.
D)All of these are correct.

Question 19

If two countries had completely free trade with each other,why might a multinational corporation still be created such that it holds factories in both countries?

A)The multinational corporation wants to gain access to markets to which it would not otherwise have access.
B)Multinational corporations generally receive better treatment abroad than in their home countries.
C)Both countries have similar regulatory burdens.
D)The multinational corporation wants access to cheaper labor in one of the countries.

Question 20

Which of the following describes migration flows since World War II?

A)Much smaller than during the interwar years
B)Less politically controversial since the 1990s
C)Driven by labor shortages in industrialized countries in the 1960s
D)Much larger than in the late nineteenth century

Question 21

Which state is most likely to face a currency crisis?

A)A state that imports more than it exports
B)A state that devalues its currency often in response to inflation
C)A state that maintains a fixed exchange rate in relation to gold
D)A country that has a modest amount of debt

Question 22

Currency crises are likely to be transmitted from one country to a second when:

A)the first country fixes its currency to that of the second.
B)investors believe the second country has large amounts of reserves.
C)investors expect the second country will devalue as a result.
D)the second country has a low rate of inflation.

Question 23

Why did developing countries pursue commodity cartels in the 1960s and 1970s?

A)To forestall attempts by developed countries to raise oil prices.
B)IMF advisers recommended that they do so.
C)To shift the terms of trade in their favor.
D)Bilateral foreign aid was made conditional on cartel formation.

Question 24

Currently,which of these statements best describes today's international monetary arrangements?

A)Gold is the currency of the world.
B)It is based on a commodity standard.
C)The International Monetary Fund (IMF)regulates fixed exchange rates.
D)A few major currencies float against one another.

Question 25

Which of the following is an example of a Washington Consensus reform?

A)Subsidies for exports
B)Openness to international financial flows
C)Nationalization of infrastructure
D)Overvaluation of exchange rates

Question 26

Which of the following was an important policy difference between import-substituting industrialization (ISI)and export-oriented industrialization (EOI)?

A)ISI has tended to be unsuccessful at achieving sustained development,while EOI has helped some countries advance into the developed world.
B)ISI is not supported by the ideas of the Washington Consensus,while EOI is supported by the ideas of the Washington Consensus.
C)ISI involves heavy government involvement,while EOI involves a purely hands-off approach.
D)ISI-based strategies have been associated with higher levels of debt accumulation than EOI-based strategies.

Question 27

How would the World Trade Organization (WTO)evaluate import-substituting industrialization in the present period?

A)The WTO would view such policies as likely to encourage development.
B)The WTO would be neutral about such policies,as they have no effect on the WTO's issue domain.
C)The WTO would be for such policies,as the WTO is in favor of liberalization.
D)The WTO would be opposed to such policies,as the WTO is opposed to protectionism.

Question 28

International monetary policy creates Prisoner Dilemma-like scenarios because:

A)there are incentives to devalue a currency whether or not other countries devalue their currencies.
B)there are incentives to appreciate a currency whether or not other countries appreciate their currencies.
C)the only time a country wants to devalue its currency is when other countries appreciate their currencies.
D)the only time a country wants to appreciate its currency is when other countries devalue their currencies.

Question 29

Why do countries with large endowments of natural resources face what is known as a "resource curse?"

A)Other countries are envious of their wealth and will not help them develop.
B)No countries with resources have enjoyed successful development.
C)Easy access to wealth gives a country less reason to build up other political and economic infrastructures.
D)Resource wealth prevents the development of the service sector.

Question 30

What kind of monetary policy do consumers in a society tend to prefer?

A)A volatile exchange rate
B)A currency with an artificially low value
C)A strong exchange rate
D)Consumers are indifferent to exchange rates

Question 31

Why might trade be more effective at addressing poverty in developing countries than foreign aid?

A)Aid can undermine the development of effective political institutions.
B)Developing countries have historically taken a greater absolute share of the gains from trade than developed countries.
C)Aid targeted at delivery of medicine and education in poor areas has not shown any success.
D)Trade benefits are distributed equitably within developing societies.

Question 32

Which of the following is true of transnational advocacy networks (TANS)?

A)They are able to achieve results only when able to directly apply significant economic pressure to states.
B)They always serve purposes that are widely agreed to be normatively "good," such as protecting human rights or the environment.
C)They tend to have a clear hierarchical structure,with members taking clear direction from a strong central leadership.
D)They are characterized by back-and-forth reciprocal interaction in which members voluntarily share information and political strategies.

Question 33

Artificially devalued currencies have what effect on national economies?

A)The number of imports into that country increases.
B)The number of exports from that country increases.
C)The growth of the economy tends to slow down.
D)Foreign competitors gain an unfair advantage versus domestic firms.

Question 34

How did the Bretton Woods exchange rate system differ from the gold standard?

A)No country was committed to trading its currency for gold.
B)Small changes in currency values were allowed.
C)Cooperation was not required among members to make the system work.
D)Countries were encouraged to maintain stable exchange rates.

Question 35

Which group of countries has the largest share of control over the International Monetary Fund (IMF)?

A)China and other East Asian countries
B)Advanced industrialized countries
C)Middle-income countries
D)Eastern European countries

Question 36

How are countries that pursued import-substituting industrialization (ISI)linked to financial crises?

A)Countries that pursued ISI were more likely to experience a financial crisis,as they privatized too much of their domestic economies.
B)Countries that pursued ISI were more likely to experience a financial crisis,as they liberalized trade and were exposed to market fluctuations.
C)Countries that pursued ISI were more likely to experience a financial crisis,as they went deep into debt funding state expenditures.
D)Countries that pursued ISI were generally immune to financial crises,unlike those countries that were already developed.

Question 37

What was the main negative impact of colonialism on economic development?

A)Creation of extractive political and economic institutions
B)Neglect of natural resources
C)Destruction of infrastructure
D)Hampering of progress in North America

Question 38

Why has foreign aid been unable to promote development effectively?

A)The amount of foreign aid given by developed countries is small.
B)Foreign aid mostly goes to countries that are already developed.
C)The amount of foreign aid given is too large for developing countries to know what to do with it.
D)Developed countries have stopped giving out foreign aid.

Question 39

Hard international law is typified by:

A)high obligation,precise rules,and significant delegation.
B)high obligation,imprecise rules,and significant delegation.
C)low obligation,imprecise rules,and significant delegation.
D)low obligation,precise rules,and significant delegation.

Question 40

Which of the following explains the interplay between exchange rates and interest rates?

A)If a government or central bank increases interest rates,the domestic currency will appreciate.
B)If a government or central bank decreases interest rates,the domestic currency will appreciate.
C)Changing the level of interest rates has no effect on exchange rates.
D)The effect of increases or decreases in the interest rate has unpredictable effects on the exchange rate.

Question 41

The success of "naming and shaming" demonstrates:

A)the coercive power of TANs regarding human rights.
B)the role of MNCs in pushing democratization.
C)the importance of world opinion for norms.
D)the relative weakness of interests in explaining compliance.

Question 42

The most frequent and deadliest violence today is committed by:

A)terrorists against domestic targets.
B)governments against their own citizens.
C)states against other states in interstate wars.
D)rebel groups against government forces.

Question 43

What happens during the norms life cycle?

A)Norms start out widely accepted and then fade until they are not followed,leading to a boomerang where actors once again begin to believe in them.
B)Norm entrepreneurs frame issues to convince others to share their beliefs,eventually leading to a norm cascade as more actors accept those beliefs.
C)Norms become widely accepted quite easily but are never effective in altering behavior unless some sort of enforcement is present.
D)Norms tend to begin to reach prominence in the Global South before ultimately transitioning to the Global North as well.

Question 44

Which of the following is true of human rights in recent decades?

A)States that have ratified human rights treaties do not respect those rights.
B)There is no tension between the desire to take international action to stop human rights abuses and the principle of state sovereignty.
C)Western Europe has had consistently low human rights performance,while South Asia has done better.
D)Major human rights accords include the Universal Declaration of Human Rights of 1948 and the International Covenant on Economic,Social,and Cultural Rights of 1976.

Question 45

Which of the following is an example of "individual petition" for human rights?

A)A U.S.couple appeals a case about the prohibition of gay marriage to the Supreme Court.
B)A victim of discriminatory practices under apartheid asks for an audience with the South African Truth and Reconciliation Commission.
C)The European Union files a complaint over U.S.steel tariffs with the WTO.
D)Asylum seekers in Belgium file a complaint against the Belgian government with the United States Supreme Court.

Question 46

Why are established democracies sometimes reluctant to sign international human rights treaties?

A)Reliance on internal processes to protect human rights
B)Lack of concern for the protection of human rights in other countries
C)Interest in maintaining freedom of action to suppress domestic dissent
D)Fear of coercive power of international institutions enforcing agreements

Question 47

Which of the following does the Universal Declaration of Human Rights include?

A)Hard laws for domestic institutions
B)Differential standards based on level of development
C)Rights of communal and national solidarity
D)Emphasis on the moral validity of market outcomes

Question 48

Why was the collective action problem of ozone depletion easier to overcome than the collective action problem of global warming?

A)TANs have failed to rally for global warming.
B)Global warming is caused by individual activity,while ozone depletion is generally caused by states.
C)There were fewer actors involved in dealing with ozone depletion.
D)The fight to stop global warming occurred within a privileged group.

Question 49

A non-specific and aspirational international law is best described as a:

A)"soft" law.
B)"hard" law.
C)voluntary law.
D)customary international law.

Question 50

Which of the following is an example of an environmental issue that has reached the third stage of a norms cycle?

A)Enforcement of environmental protection is not needed,as states protect the environment on their own.
B)The issues dealing with the environment are being favorably covered by major media sources.
C)The proper steps to be taken in order to address environmental concerns are being discussed in international organizations.
D)Some states sanction other states for not protecting the environment.

Question 51

Universal jurisdiction tends to undermine what institution?

A)The United Nations
B)The International Criminal Court
C)State sovereignty
D)Multilateral reciprocity

Question 52

Why is the use of sanctions to improve human rights practices controversial?

A)Sanctions embolden other regimes besides the targeted one to commit human rights violations.
B)There are no examples of the successful use of sanctions to improve human rights in target states.
C)Sanctions often impact society as a whole rather than only the regime being targeted.
D)Trade sanctions cannot weaken a regime's coercive capabilities.

Question 53

What factors make sanctions effective at promoting a change in a state's behavior?

A)Sanctions do not impose enough costs to impact target states significantly.
B)States cannot really prevent their own firms from violating sanctions.
C)Sanctions often impose costs on the states who undertake them.
D)The WTO often declares sanctions to be illegal and antitrade.

Question 54

Which of the following is the best example of an international norm?

A)A state adopting a democratic form of government
B)The Kyoto Protocol
C)Avoiding civilian casualties during war
D)A state going to war

Question 55

Rights that cannot be suspended for any reason are referred to as:

A)nonderogable rights.
B)customary rights.
C)procedural rights.
D)conscience rights.

Question 56

Which type of state is most likely to follow an international treaty protecting human rights?

A)A strong autocracy
B)A weak autocracy
C)A weak democracy
D)A strong democracy

Question 57

When do sovereignty and international law compete?

A)When a state's interest is in line with international law.
B)When a state is opposed to an international law but does not actively violate it.
C)When a state is opposed to an international law and actively violates it,but the law is not enforced.
D)When a state is opposed to an international law,actively violates it,and other actors punish the state for its behavior.

Question 58

Which of the following is a primary role that transnational advocacy networks (TANs)play in encouraging states to protect human rights?

A)Spreading information and creating public outcry about an issue
B)Creating new international organizations to deal with human rights
C)Taking over the mechanisms of states when states fail
D)Funding anti-state activity

Question 59

What does the boomerang model describe?

A)The successful pressuring of nondemocratic governments by domestic NGOs
B)The failure of NGOs in one state being transmitted to another through TANs
C)NGOs using TANs to bring pressure from other states
D)Domestic pressure triggered by a state's use of diplomacy on other states

Question 60

What is customary international law?

A)Laws that deal with international trade
B)Laws promulgated by international institutions
C)Laws that gain recognition over time
D)Laws that grow from British common law

Question 61

Marine biologists recently warned that the stock of the Atlantic bluefin tuna has collapsed on the American side of the Atlantic and is declining rapidly on the European side due to greed all around and overfishing in international waters.The Atlantic bluefin tuna in international waters is a typical ________ because it is ________ and ________.

A)club good; nonrival; excludable
B)common pool resource; rival; excludable
C)public good; nonrival; nonexcludable
D)common pool resource; rival; nonexcludable

Question 62

In the bargaining model,what problem arises out of a country rapidly gaining power?

A)Prisoner's Dilemma
B)Information problem
C)Commitment problem
D)Audience costs

Question 63

Which period of history provides the greatest concern that globalization may unravel in the future?

A)1870-1914
B)1919-1939
C)1945-1970
D)1980-1995

Question 64

Which of the following agreements created an emissions trading system for carbon dioxide?

A)Kyoto Protocol
B)Stockholm Convention
C)Rio Declaration
D)Rotterdam Convention

Question 65

Domestic interest groups representing polluters are often able to block environmental protection because:

A)no technologies for clean production exist.
B)they stand to gain more from pollution than others would lose by it.
C)clear information about the costs of pollution is unavailable.
D)the benefits of environmental protection are diffuse.

Question 66

Which of the following is true about environmental performance?

A)States with a high per capita GDP tend to have better environmental performance.
B)Global carbon emissions have remained constant over the last 50 years.
C)The United States is around the world average in fossil fuel usage per capita.
D)Travel is a trivially small percentage of global carbon emissions.

Question 67

What is the major obstacle to convincing the losers from globalization to accept it?

A)Economic costs from globalization to losers too high
B)Concerns about culture and sovereignty
C)Insufficient benefits held by the winners to transfer to them
D)Absence of government capacity to compensate losers

Question 68

Why are less developed countries LESS willing to adopt environmental regulations than are developed countries?

A)Less developed countries do not understand the dangers of environmental degradation.
B)Protecting the environment will likely slow down economic development.
C)More developed countries make protection by less developed countries more costly.
D)Less developed countries would have to violate human rights to protect the environment.

Question 69

Which of the following factors suggests that one should be concerned with the prospect of nuclear proliferation?

A)Weapons in the hands of rational actors
B)Shifting global distribution of power
C)Dispersion of second-strike capability
D)Historical record of usage of nuclear weapons

Question 70

Which of the following events raises doubts about the possibilities for successful coercive disarmament?

A)U.S.invasion of Iraq in 2003
B)Israeli strike on the Osirak reactor
C)U.S.cyberattacks on Natanz facility in Iran
D)NATO intervention in Libya in 2011

Question 71

Which of the following is an example of a common pool resource?

A)Radio broadcast
B)Public forestland timber
C)Drive-in movies
D)Public education

Question 72

Which of the following was the primary pollutant that caused ozone depletion?

A)Carbon dioxide
B)Methane
C)Asbestos
D)Chlorofluorocarbons

Question 73

If the United States wants to prevent the rise of China,what policy should it take economically?

A)Erect tariffs against Chinese imports
B)Liberalize all trade with China
C)Encourage further investment into China's economy
D)Encourage China to liberalize its markets,so it can import more American goods

Question 74

Which one of the following statements is correct regarding externalities?

A)The existence of a negative externality leads to the outcome that too little of the good will be produced.
B)Externalities lead to an efficient outcome.
C)The existence of a positive externality leads to the outcome that too much of the good will be produced.
D)Externalities occur when a decision creates costs or benefits for actors other than the one making the decision.

Question 75

The weakness of the nuclear Non-Proliferation Treaty lies in its:

A)inability to sanction.
B)failure to set standards.
C)lack of capacity to monitor.
D)absence of great power support.

Question 76

Why are terrorists UNLIKELY to be deterred from using nuclear weapons by states with nuclear weapons?

A)They are irrational.
B)They do not pay costs as an actor.
C)States cannot find members of terrorist groups.
D)They are less likely to face costs,as they lack fixed territory.

Question 77

Why did countries support China's ascension into the WTO,despite its centrally planned economy?

A)They believed China would change the rules of the WTO to be more in favor of developing countries.
B)They believed China would be more likely to care about trade disputes than it had previously.
C)They believed China would be less willing to challenge the existing economic system if and when it became powerful.
D)China has promised to limit its abuse of human rights if it could join.

Question 78

Compare the explanations of international trade policy making suggested by the Stolper-Samuelson and Ricardo-Viner models.If you were observing a trade policy debate like the ones over NAFTA or the TPP,what would you look for to tell you which of the two models is correct?

Question 79

If the threatened use of nuclear weapons in war is credible,what effect does this have for the bargaining model of war in a conflict between a nuclear state and a non-nuclear state?

A)It increases the potential benefits for a nuclear state.
B)It increases the potential benefits for a non-nuclear state.
C)It increases the potential costs for a nuclear state.
D)It increases the potential costs for a non-nuclear state.

Question 80

In the present period,which factor of production is most likely to mobilize against globalization,due to its loss from liberalization and inability to move?

A)Capital
B)Technology
C)Labor
D)Land