Question 1

The organization created in 1944 to provide relief to countries suffering from the ravages of World War II was the:

Accepted Answer

The answer of The organization created in 1944 to provide...

Question 2

An act of the host country's taking title to all of the assets of the foreign company is called:

Accepted Answer

Expropriation is the act of a government taking possession of the assets of a foreign company within its borders, without compensation or against inadequate compensation. It is usually done as a result of political or economic factors, and can be a major risk for foreign investors.

Question 3

Trade among nations remains a vital ingredient to the economic health of the world's population.While countries are sovereign and create and interpret their own sets of laws,the goal is that trade be governed by:

Accepted Answer

The answer of Trade among nations remains a vital ingredient...

Question 4

In 1947,an international agreement was entered into by a multitude of nations,called the:

Accepted Answer

The General Agreement on Tariffs and Trade (GATT) was signed in 1947 by a large number of countries with the aim of reducing trade barriers and promoting international trade. GATT was eventually replaced by the World Trade Organization (WTO) in 1995, but many of its principles and agreements were incorporated into the WTO. The other options, such as NAFTA and the IMF Agreement, were signed much later and focused on more specific areas of international trade and finance.

Question 5

When the host country mandates that at least partial ownership of the foreign company be sold to local citizens or companies prior to the foreign company's conducting business within the host country's borders,then:

Accepted Answer

Domestication is the process where a host country mandates that foreign companies sell a portion of their ownership to local entities as a condition for operating within the country. This is aimed at ensuring local involvement and benefits from foreign investments.

Question 6

All of the following are transnational institutions EXCEPT the:

Accepted Answer

The Foreign Corrupt Practices Association is not a transnational institution. It is a non-governmental organization based in the United States that aims to promote international business ethics and prevent bribery and corruption in global business practices. The other three options listed are all transnational institutions.

Question 7

The organization with responsibility to maintain a stable environment for the economies and the currencies of its members is the:

Accepted Answer

The International Monetary Fund (IMF) is responsible for maintaining a stable environment for the economies and currencies of its member countries. The World Trade Organization (WTO) primarily deals with the rules of trade between nations, while the General Agreement on Tariffs and Trade (GATT) is an international agreement that addresses tariffs and trade barriers. The North American Free Trade Agreement (NAFTA) is an agreement between the United States, Canada, and Mexico to promote free trade between the countries.

Question 8

To attain economic results,such as protecting domestic industries or facilitating the production of certain crops,at times a country will impose a(n):

Accepted Answer

A tariff is a tax imposed on imported or exported goods, often with the aim of protecting domestic industries or promoting the production of certain crops. An embargo involves a complete ban on trade with a particular country or region and is typically used as a political tool rather than an economic one. Capital punishment is a form of legal punishment for certain crimes and has no relation to economic policy. A bylaw is a local law or regulation and would not be used at a national level to achieve economic goals.

Question 9

The work of authors or creators of literary,artistic,or musical works and computer programs are protected under:

Accepted Answer

The work of authors or creators of literary, artistic, or musical works and computer programs are protected under copyrights. Patents protect inventions, trademarks protect logos, names, and symbols, and know-how refers to confidential business information or trade secrets. However, the work of authors or creators falls under the realm of copyrights.

Question 10

The ____________ is a specialized agency of the United Nations and an international organization that administers numerous treaties concerning protection of intellectual property rights.

Accepted Answer

The World Intellectual Property Organization (WIPO) is the specialized agency of the United Nations and an international organization that administers numerous treaties concerning the protection of intellectual property rights. The other choices, such as the World Bank, International Monetary Fund, and World Trade Organization, do not have a specific mandate to deal with intellectual property rights.

Question 11

The commission or organization that is responsible for overseeing the implementation of all multinational trade agreements negotiated now or in the future is known as the:

Accepted Answer

The World Trade Organization (WTO) is responsible for overseeing the implementation of all multinational trade agreements negotiated now or in the future. The North American Free Trade Organization (NAFTA) is a regional trade agreement that primarily deals with trade between the United States, Canada, and Mexico. The General Agreement on Tariffs and Trade (GATT) was a precursor to the WTO and is no longer in effect. The International Monetary Fund (IMF) is responsible for promoting international monetary cooperation and exchange rate stability, but not trade agreements.

Question 12

A foreign licensee must meet certain product quality requirements so that the use of the mark does not deceive the consumer or lessen the value of the mark to the:

Accepted Answer

The owner of the mark has a vested interest in maintaining the quality of products under their trademark. Allowing a licensee to produce low-quality goods or misleading the consumer could harm the reputation of the mark and diminish its value. Therefore, it is important that the foreign licensee meets certain product quality requirements so that the mark's value to the owner is not lessened.

Question 13

The Foreign Corrupt Practices Act (FCPA)defines ___________ as "connoting an evil motive or purpose,intent to wrongly influence the recipient."

Accepted Answer

The term "corruptly" is defined by the Foreign Corrupt Practices Act (FCPA) as having an evil motive or purpose and an intent to wrongly influence the recipient. The other options - tariff, boycott, and embargo - are not defined in this way by the FCPA.

Question 14

A federal statute designed to provide executives of American companies with rules and restrictions relating to paying persons in foreign countries to expedite business in these foreign nations is the:

Accepted Answer

The Foreign Corrupt Practices Act (FCPA) is a federal statute that aims to prohibit the payment of bribes to foreign officials or parties to expedite business transactions in foreign countries by executives of American companies. The act applies to publicly traded companies, their officers, directors, employees, and agents, and also foreign firms or persons who directly or indirectly engage in corrupt practices within the territory of the United States. The FCPA imposes civil and criminal liabilities for non-compliance and provides for severe penalties, fines, and imprisonment.

Question 15

The monetary currency of the European Union is a(n):

Accepted Answer

The monetary currency of the European Union is the euro.

Question 16

In 1994,12 countries in Europe formed an economic and political integration of the members into one entity which is expected to eventually become:

Accepted Answer

In 1994, the European Union was established by 12 countries in Europe. It is an economic and political integration of the members into one entity. The term "Euroland" is often used to refer to the Eurozone, which is the group of EU countries that use the euro as their currency. Therefore, the best choice is B) Euroland.

Question 17

____________ property includes both artistic as well as industrial property rights.

Accepted Answer

Intellectual property includes both artistic rights, such as copyrights and industrial property rights, such as patents and trademarks. Tangible property refers to physical assets, public property is owned by the government or community, and real property refers to land and buildings.

Question 18

Countries that enact laws prohibiting trade with specific countries are said to be using trade sanctions,sometimes referred to as:

Accepted Answer

Trade sanctions that prohibit trade with a specific country are commonly referred to as embargoes. Tariffs are taxes on imported goods, while "churnings" and "superfund" are not related to trade sanctions.

Question 19

At times,citizens of a particular country refuse to purchase goods made by businesses located in other countries.This action,whether supported by the government or not,is referred to as a:

Accepted Answer

The action described is called a boycott, which involves a voluntary refusal by citizens to purchase goods from businesses located in other countries. This can be done as a form of political or economic protest, and may or may not be supported by the government. Confiscation refers to the seizure of property by the government, domestication refers to the process of adapting animals or plants for human use, and localization refers to the adaptation of products or services to meet the needs of a specific geographic area.

Question 20

A statutory privilege granted by a nation to inventors for a fixed period of years to exclude all others from manufacturing,using,or selling a product without permission from the inventor is a:

Accepted Answer

A patent is a legal right granted to inventors by a government to prevent others from making, using, or selling their invention without their permission for a limited period of time. Copyright is a similar legal right granted to authors and artists to protect their creative works. Trademark is a legal protection for logos, symbols, or names used to identify and distinguish the products or services of one company from another. A grant is a financial award or assistance given by the government or organization for specific purposes.

Quiz 35: International Business Law