Question 1

Multinational corporations

Accepted Answer

All of the choices are correct. Multinational corporations are becoming more transnational and are blurring national boundaries in terms of product identity. It has also become difficult to purchase a completely American-made vehicle as most major car manufacturers have operations in multiple countries.

Question 2

Examples of liberal market economies include

Accepted Answer

Liberal market economies are characterized by a high degree of individual freedom and relatively low government intervention in the economy. The United States and Great Britain are both examples of countries that have adopted liberal market economic policies.

Question 3

A major criticism of the market system is that it

Accepted Answer

The market system operates on the principle of self-interest and profit maximization, which can lead to a lack of traditional morality built into the system. The pursuit of profit can lead businesses to engage in unethical or immoral practices, such as exploiting workers or damaging the environment. This criticism suggests that the market system does not prioritize ethical considerations and relies on external regulation to ensure fairness and justice.

Question 4

A market that is dominated by a few firms is called a(n)

Accepted Answer

An oligopoly is a market structure in which a small number of firms have the majority of the market share. This can reduce market competition and give these firms more control over price and production.

Question 5

A conference held in 2000 to discuss the impact of the Internet on various sectors of the U.S.economy concluded that it could increase productivity growth by

Accepted Answer

The conference concluded that the impact of the internet could increase productivity growth by increasing consumer choice, convenience, and satisfaction. This is because the internet allows for easier access to a wider range of goods and services, which can lead to increased competition and improved efficiency in the marketplace. Additionally, the internet can also increase convenience for consumers, which can save time and reduce transaction costs, ultimately leading to increased productivity growth. None of the other options presented (elevating costs, decreasing management efficiency, decreasing competition) are supported by the findings of the conference.

Question 6

Many conflict theorists,such as C.Wright Mills,argue that

Accepted Answer

Conflict theorists such as C. Wright Mills argue that the United States is governed by a "power elite" made up of a small group of wealthy and powerful individuals who hold disproportionate influence and control over economic and political institutions. This elite group is able to maintain its power and influence by manipulating public opinion, controlling the media, and using their wealth to influence government policies and decision-making. This view emphasizes the role of power and inequality in shaping American society, and suggests that true democracy is often undermined by the influence of the powerful elite.

Question 7

In reference to the economic integration of less developed nations into the structures of a world economy,__________ regions consist of geographical areas that dominate the world economy and exploit the rest of the system.

Accepted Answer

The term "core" refers to the most developed and influential regions of the world economy, which dominate and exploit other less developed regions, known as the "periphery." Therefore, option C is the best choice. Option A, periphery, refers to the less developed regions, and option B, multinational, refers to businesses that operate across national borders. Option D, global, is too broad and does not specifically reference the economic structure described in the question.

Question 8

________________ economies rely heavily on free markets and privately held property.

Accepted Answer

Capitalist economies rely heavily on free markets and privately held property. Socialism, communism, and management do not prioritize private ownership and free markets in the same way.

Question 9

All societies confront the basic economic problem of determining

Accepted Answer

The basic economic problem demands societies to resolve how to allocate its limited resources among its unlimited wants and needs. This requires determining what goods and services to produce, how to produce them, and for whom to produce them. Therefore, all the choices are correct.

Question 10

Germany is an example of a(n)_________ economy.

Accepted Answer

Germany's economy is considered a coordinated market economy, which is characterized by collaboration between businesses, labor unions, and the government to create policies that support long-term economic growth and stability. In a coordinated market economy, companies work closely with their suppliers, customers, and competitors to improve efficiency and innovation. The government also plays a significant role in shaping economic policies and providing support for businesses and workers. This is in contrast to a liberal market economy, where individual firms operate largely independently and there is minimal government intervention.

Question 11

Pluralist theorists argue that

Accepted Answer

Pluralist theorists argue that important decisions are made by different groups depending on the issue. This means that there is no one group or elite that holds all the power, but rather power is dispersed among various competing groups. A pluralist perspective also recognizes the existence of conflicts and competition among these groups. Therefore, option C is the best choice. Option A is incorrect because group power is affected by specific issues, and option B is incorrect because pluralist theorists do not believe in the power elite. Option D is incorrect because pluralist theorists do not believe that corporate executives are the primary controllers of government.

Question 12

According to C.Wright Mills,the real rulers of America include

Accepted Answer

C.Wright Mills believed that the real rulers of America were an elite group consisting of corporate executives, the military, and high-ranking politicians. He referred to this group as the "power elite" and argued that they controlled the major institutions in society and held the most influence over policy decisions. While labor union leaders, the "new rich," and mass media moguls may have some degree of power and influence, Mills believed that they were ultimately subordinate to the power elite.

Question 13

Over the twentieth century,two fundamentally different types of economic systems have competed for people's allegiance.They are

Accepted Answer

Throughout the twentieth century, the two primary economic systems that competed for people's allegiance were capitalism and socialism. Under capitalism, the market plays a significant role in determining prices and allocating resources, whereas socialism involves central planning and government ownership of property and resources. While there have been variations within each system, these two economic models have been the dominant ones throughout the century. The other answer choices are not accurate; there was no "socialist management" economy, and communism is often considered a type of socialism rather than a separate economic system.

Question 14

In a market economy,_______________ determine(s)which goods and services should be provided and in what quantities.

Accepted Answer

In a market economy, consumers determine which goods and services should be provided and in what quantities through the mechanism of demand and supply. Producers create goods and services which they believe consumers will demand, and prices are set by the interaction of supply and demand. The state, manufacturers, and the ruling class may have some influence on the economy, but ultimately it is the consumers who decide what gets produced and consumed.

Question 15

Multinational corporations

Accepted Answer

Multinational corporations no longer need a geographical center as they operate in multiple countries and have a global focus rather than prioritizing the nation where their head office is located. They also rely on multiple economies rather than depending on one nation. While they may prioritize local employees in certain situations, this is not necessarily at the expense of a global strategy.

Question 16

When price movements act as signals to profit-makers,and they cut back on goods with falling prices and increase the production of goods with rising prices,it is called

Accepted Answer

This describes the consumer sovereignty mechanism, where market participants respond to price signals by adjusting their consumption and production decisions. It is a fundamental aspect of a market economy. A) neosocialism and C) old socialism do not involve price signals, and D) the radical price-control mechanism involves government intervention rather than market forces.

Question 17

The impact of the mass media on political campaigns

Accepted Answer

The impact of the mass media on political campaigns has resulted in physical appearance and "good looks" becoming more important in determining voting behavior. At the same time, there is a greater emphasis on style and personality over substance. Therefore, both options A and B are correct. However, there is no evidence that the mass media has forced more interest in substance over style among political candidates. Therefore, option C is incorrect.

Question 18

A command economy is

Accepted Answer

A command economy is characterized by a central authority who makes the major economic decisions for the society. This central authority can direct resources and investment towards industrialization, which can be beneficial in moving the society towards industrialization.

Question 19

The mass media's involvement in politics is

Accepted Answer

The mass media's most significant involvement in politics is "agenda setting," which refers to the media's ability to influence which issues are considered important by the public and policymakers. This can have a significant impact on the political agenda and policy priorities. While the mass media's influence may vary among individuals, it remains a powerful force in shaping the public's attitudes and beliefs about politics.

Question 20

In the early 2000s,__________ percent of retail trade sales were in e-commerce.

Accepted Answer

In the early 2000s, e-commerce was still in its infancy, and only about 1% of retail trade sales were conducted online.

Quiz 9: Political and Economic Power

Multinational corporations

Examples of liberal market economies include

A major criticism of the market system is that it

A market that is dominated by a few firms is called a(n)

A conference held in 2000 to discuss the impact of the Internet on various sectors of the U.S.economy concluded that it could increase productivity growth by

Many conflict theorists,such as C.Wright Mills,argue that

In reference to the economic integration of less developed nations into the structures of a world economy,__________ regions consist of geographical areas that dominate the world economy and exploit the rest of the system.

________________ economies rely heavily on free markets and privately held property.

All societies confront the basic economic problem of determining

Germany is an example of a(n) _________ economy.

Pluralist theorists argue that

According to C.Wright Mills,the real rulers of America include

Over the twentieth century,two fundamentally different types of economic systems have competed for people's allegiance.They are

In a market economy,_______________ determine(s) which goods and services should be provided and in what quantities.

Multinational corporations

When price movements act as signals to profit-makers,and they cut back on goods with falling prices and increase the production of goods with rising prices,it is called

The impact of the mass media on political campaigns

A command economy is

The mass media's involvement in politics is

In the early 2000s,__________ percent of retail trade sales were in e-commerce.