Exam 1: The Global Economy

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Intel, an American company, has manufacturing plants in China that assemble U.S.­made components.Suppose one Of these plants produces and sells a computer chip to a Chinese computer manufacturer.How is this sale recorded In U.S.international trade statistics?

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In 1956 an invention increased the volume of world trade By lowering the cost of shipping.What was the invention?

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What caused the decline in trade during the 2008-2009 Financial crisis?

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Suppose that in retaliation to British limits on Balkan migrants, Bulgaria carries out its threat to take "reciprocal measures" against British migrants to Bulgaria.Will this work? Why or why not?

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In general, migration is _____ than trade.

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The movement of people across borders is known as:

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Irene Jones, a U.S.citizen, purchases a shirt from Walmart for $10 that Walmart imported from China for $5.How did these transactions change the values of U.S. and Chinese imports and exports and the U.S.­Chinese and Chinese­U.S.bilateral trade balances?

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Suppose that a country has a low ratio of trade to GDP.Which of the Following may be a possible explanation for this? I.The country has high import tariffs on imports. II.The country is geographically distant from the rest of the world. III.The country is small.

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Which of the following is NOT included in the calculation of A country's gross domestic product (GDP)?

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Which of the following statements refer to a vertical FDI?

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Which of the following is classified as reverse­vertical FDI?

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How many countries are members of the European Union?

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When a firm in an industrial nation purchases a firm in a Lower­income nation, economists call it:

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During the 2008-2009 financial crisis, what happened to The ratios of trade to GDP for most developed nations?

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What was an outcome of the Smoot­Hawley tariff enacted By the United States?

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Most immigration occurs:

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Most FDI flows are owned by:

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What nations have the world's highest volume of internal Trade with one another?

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According to the article "A Sea Change in Shipping 50 Years Ago," what impact did container shipping have on Global trade?

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Imports are:

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