Question 1

Doha Round paved the way for China and Singapore to get full membership in the
WTO.

Accepted Answer

The answer of Doha Round paved the way for China...

Question 2

The last step of the possible integration forms is the:

Accepted Answer

The last step of possible integration forms is political union, where member countries integrate not only in terms of economic policies but also political policies, including a common government and decision-making process. This is the highest level of integration and is seen in examples such as the European Union.

Question 3

The Uruguay Round set up an international body called the World Trade Organization
(WTO).

Accepted Answer

This is true, the Uruguay Round did establish the World Trade Organization (WTO) in 1995, as a successor to the General Agreement on Tariffs and Trade (GATT) which was created after World War II. The WTO is the only global organization that deals with the rules of trade between nations.

Question 4

The sovereignty of _______________ will perhaps continue to weaken due to multinationals and the increasing integration of economies.

Accepted Answer

Sovereignty refers to the supreme power or authority of a nation within its borders. Multinationals and economic integration can limit a nation's ability to exert control over its economy and regulations, thus weakening its sovereignty. Cities, regions, and trading blocs are dependent on national sovereignty, so they are not the best choice.

Question 5

As of December 11,2005,the World Trade Organization (WTO)had 149 member
countries.

Accepted Answer

This statement is true as of the specified date (December 11, 2005). At this time, the WTO had 149 member countries.

Question 6

FDI in services is controlled by U.S.firms.

Accepted Answer

While U.S. firms do play a significant role in FDI in services, they are not the only ones controlling it. Many other countries and companies from around the world also invest in services industries in various countries.

Question 7

The main operating principle of the General Agreements of Tariffs and Trade (GATT)
is the concept of the Highly Favored Nation status (HFN).

Accepted Answer

The main operating principle of the General Agreement on Tariffs and Trade (GATT) is the concept of the Most Favored Nation (MFN) status, not Highly Favored Nation.

Question 8

The world's largest importing country is the U.S.

Accepted Answer

According to the World Bank, the United States is the largest importer in the world, with a total import value of $2.6 trillion in 2019.

Question 9

Researchers have reported that multinationals have not been as great a threat to countries' national sovereignty because multinationals have yet to solve the
Problem of:

Accepted Answer

The problem of size refers to the fact that large multinational corporations may be powerful and influential, but they are still constrained by the laws and regulations of the countries they operate in. Therefore, they have not been able to completely undermine national sovereignty. The other options (demand, war, religious conflict, language differences) are not directly related to the issue of multinational corporations and national sovereignty.

Question 10

The World Trade Organization (WTO)is a global institutional proponent of free trade.

Accepted Answer

The World Trade Organization (WTO) is a global institution that promotes free trade by reducing barriers to international trade and resolving disputes between member countries.

Question 11

The U.S.government defines the multinational company for statistical purposes as a company that owns or controls ______________ or more of the voting securities,or
The equivalent,of at least one foreign business enterprise.

Accepted Answer

The U.S. government defines a multinational company as a company that owns or controls at least 10% or more of the voting securities, or the equivalent, of at least one foreign business enterprise.

Question 12

The Maastricht Treaty is a(n):

Accepted Answer

The Maastricht Treaty is primarily a political union, as it established the European Union and created common policies in areas such as foreign affairs, defense, and justice. While it also has economic elements, such as the establishment of a single market, its main focus is on political integration.

Question 13

Today,countries have become economically independent.

Accepted Answer

While countries may have achieved economic growth and development, they are still interconnected and interdependent in the global economy. No country can completely isolate itself from the economic activities of others.

Question 14

In 2008/2009 Country Competitiveness Report,5 of the top 10 countries are Asian countries.

Accepted Answer

The answer of In 2008/2009 Country Competitiveness Report,5 of the...

Question 15

MNCs that become global at their first inception are called:

Accepted Answer

MNCs that become global at their first inception are called "born global" firms.

Question 16

The principle goal of a political union is that it:

Accepted Answer

The answer of The principle goal of a political union...

Question 17

The world's largest exporting country is China.

Accepted Answer

China has been the world's largest exporter of goods since 2009, surpassing the United States and Germany, due to its vast manufacturing industry and significant global trade surplus.

Question 18

Over the Internet,any piece of electronically represented intellectual property can be
instantly copied anywhere in the world.

Accepted Answer

This is true, as digitally represented intellectual property can be easily copied and distributed over the internet without any physical limitations.

Question 19

The Triad Regions of the world (North America,Western Europe,and Japan)collectively produce more than 80 percent of world GDP.

Accepted Answer

The statement is true. The Triad Regions are known for their economic strength, and together they account for a significant portion of the world's economy.

Question 20

GATT's successor is the World Trade Organization (WTO).

Accepted Answer

The World Trade Organization (WTO) is the successor to the General Agreement on Tariffs and Trade (GATT).

Quiz 2: Economic Environment

Doha Round paved the way for China and Singapore to get full membership in the WTO.

The last step of the possible integration forms is the:

The Uruguay Round set up an international body called the World Trade Organization (WTO).

The sovereignty of _______________ will perhaps continue to weaken due to multinationals and the increasing integration of economies.

As of December 11,2005,the World Trade Organization (WTO)had 149 member countries.

FDI in services is controlled by U.S.firms.

The main operating principle of the General Agreements of Tariffs and Trade (GATT) is the concept of the Highly Favored Nation status (HFN).

The world's largest importing country is the U.S.

Researchers have reported that multinationals have not been as great a threat to countries' national sovereignty because multinationals have yet to solve the Problem of: