Question 1

Which of the following is an example of an intellectual property?

Accepted Answer

A)  Home 
B)  Scientist's laboratory 
C)  Office 
D)  Website 
A)  Home 
B)  Scientist's laboratory 
C)  Office 
D)  Website D

Question 2

The Washington Consensus emphasizes using government intervention over state ownership in business.

Accepted Answer

A) True 
 B)False  False

Question 3

Which of the following is true of private ownership?

Accepted Answer

A)  It tends to force firms into liquidation due to high competition. 
B)  It empowers the government to determine firm entry. 
C)  It allows financing only through nationalized banks. 
D)  Its primary objective is protecting jobs and minimizing social unrest. 
A)  It tends to force firms into liquidation due to high competition. 
B)  It empowers the government to determine firm entry. 
C)  It allows financing only through nationalized banks. 
D)  Its primary objective is protecting jobs and minimizing social unrest. A

Question 4

Cognitive pillar is the coercive power of governments.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is true of the Washington Consensus?

Accepted Answer

A)  It provided measures that governments can take in order to move toward a command economy. 
B)  It listed the bail out procedures that governments could follow in case of a firm's bankruptcy. 
C)  It advocated more governmental control in trade. 
D)  It advocated the superiority of private ownership over state ownership. 
A)  It provided measures that governments can take in order to move toward a command economy. 
B)  It listed the bail out procedures that governments could follow in case of a firm's bankruptcy. 
C)  It advocated more governmental control in trade. 
D)  It advocated the superiority of private ownership over state ownership.

Question 6

The values and beliefs of a culture are examples of a formal institution.

Accepted Answer

A) True 
 B)False

Question 7

All Western countries practice the absolute laissez-faire philosophy in trade.

Accepted Answer

A) True 
 B)False

Question 8

In a pure market economy,the government only performs functions that the private sector cannot do.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following would be considered an example of formal institutions?

Accepted Answer

A)  Laws 
B)  Norms 
C)  Cultures 
D)  Ethics 
A)  Laws 
B)  Norms 
C)  Cultures 
D)  Ethics

Question 10

In which of the following ways do formal institutions regulate trade?

Accepted Answer

A)  By inducing uncodified ethical beliefs into society 
B)  By putting faith in individuals to expose perceived wrong doings 
C)  By allowing the cultural beliefs of a society to dictate the terms of trade 
D)  By imposing laws that make certain trades unacceptable 
A)  By inducing uncodified ethical beliefs into society 
B)  By putting faith in individuals to expose perceived wrong doings 
C)  By allowing the cultural beliefs of a society to dictate the terms of trade 
D)  By imposing laws that make certain trades unacceptable

Question 11

Which of the following is a proposition of the institution-based view?

Accepted Answer

A)  Decisions based on bounded rationality should be avoided. 
B)  Dependency on informal constraints will always increase the political risks associated with a firm. 
C)  When formal constraints are unclear, informal constraints will play a larger role in reducing uncertainty and providing constancy to managers and firms. 
D)  Informal constraints always increases transaction costs for the firm. 
A)  Decisions based on bounded rationality should be avoided. 
B)  Dependency on informal constraints will always increase the political risks associated with a firm. 
C)  When formal constraints are unclear, informal constraints will play a larger role in reducing uncertainty and providing constancy to managers and firms. 
D)  Informal constraints always increases transaction costs for the firm.

Question 12

Private ownership differs from state ownership in that in private ownership _____.

Accepted Answer

A)  maximizing profits is the primary objective of a firm 
B)  protecting jobs and minimizing social unrest is the primary objective of a firm 
C)  establishing a firm is determined by government officials and bureaucrats 
D)  failing firms deemed too big to fail may be supported by taxpayer money indefinitely 
A)  maximizing profits is the primary objective of a firm 
B)  protecting jobs and minimizing social unrest is the primary objective of a firm 
C)  establishing a firm is determined by government officials and bureaucrats 
D)  failing firms deemed too big to fail may be supported by taxpayer money indefinitely

Question 13

Identify the basic characteristics of formal and informal institutions.

Accepted Answer

An institutional framework is made up of

Question 14

Institutional framework only pertains to a firm's behavior.

Accepted Answer

A) True 
 B)False

Question 15

A mixed economy has elements of both a market economy and a command economy.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is the argument used by proponents of the "cultural" explanation for the difference in economic development across the globe?

Accepted Answer

A)  That rich countries have a smarter and harder-working population 
B)  That rich countries tend to be endowed with natural resources 
C)  That rich countries tend to have better market-supporting institutions 
D)  That rich countries generally tend to have a democratic style of government 
A)  That rich countries have a smarter and harder-working population 
B)  That rich countries tend to be endowed with natural resources 
C)  That rich countries tend to have better market-supporting institutions 
D)  That rich countries generally tend to have a democratic style of government

Question 17

Adopting the Paris Convention is required in order to become a signatory country to the WTO's Agreement on Trade-Related Aspects of Intellectual Property Rights.

Accepted Answer

A) True 
 B)False

Question 18

In private ownership,liquidation of a firm is forced by competition.

Accepted Answer

A) True 
 B)False

Question 19

In the United States,only 1 per cent of the land is formally registered.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is true of the civil law system?

Accepted Answer

A)  It is the most widely distributed legal system around the world. 
B)  It originated in England, and was then spread as the legal system for all its former colonies. 
C)  It is shaped by precedents and traditions from previous judicial decisions. 
D)  It allows judges to interpret the law before making judicial decisions. 
A)  It is the most widely distributed legal system around the world. 
B)  It originated in England, and was then spread as the legal system for all its former colonies. 
C)  It is shaped by precedents and traditions from previous judicial decisions. 
D)  It allows judges to interpret the law before making judicial decisions.

Which of the following is an example of an intellectual property?

The Washington Consensus emphasizes using government intervention over state ownership in business.

Which of the following is true of private ownership?

Cognitive pillar is the coercive power of governments.

Which of the following is true of the Washington Consensus?

The values and beliefs of a culture are examples of a formal institution.

All Western countries practice the absolute laissez-faire philosophy in trade.

In a pure market economy,the government only performs functions that the private sector cannot do.

Which of the following would be considered an example of formal institutions?

In which of the following ways do formal institutions regulate trade?

Which of the following is a proposition of the institution-based view?

Private ownership differs from state ownership in that in private ownership _____.

Identify the basic characteristics of formal and informal institutions.

Institutional framework only pertains to a firm's behavior.

A mixed economy has elements of both a market economy and a command economy.

Which of the following is the argument used by proponents of the "cultural" explanation for the difference in economic development across the globe?

Adopting the Paris Convention is required in order to become a signatory country to the WTO's Agreement on Trade-Related Aspects of Intellectual Property Rights.

In private ownership,liquidation of a firm is forced by competition.

In the United States,only 1 per cent of the land is formally registered.

Which of the following is true of the civil law system?

Globalizing Business

Emphasizing Informal Institutions: Cultures, Ethics, and Norms

Leveraging Resources and Capabilities

Trading Internationally

Investing Abroad Directly

Dealing with Foreign Exchange

Capitalizing on Global and Regional Integration

Growing and Internationalizing the Entrepreneurial Firm

Entering Foreign Markets

Managing Global Competitive Dynamics

Making Alliances and Acquisitions Work

Strategizing,Structuring,and Learning around the World

Competing on Marketing and Supply Chain Management

Managing Human Resources Globally

Financing and Governing the Corporation Globally

Managing Corporate Social Responsibility Globally

Filters

Exam 2: Understanding Formal Institutions: Politics, Laws, and Economics

Which of the following is an example of an intellectual property?

The Washington Consensus emphasizes using government intervention over state ownership in business.

Which of the following is true of private ownership?

Cognitive pillar is the coercive power of governments.

Which of the following is true of the Washington Consensus?

The values and beliefs of a culture are examples of a formal institution.

All Western countries practice the absolute laissez-faire philosophy in trade.

In a pure market economy,the government only performs functions that the private sector cannot do.

Which of the following would be considered an example of formal institutions?

In which of the following ways do formal institutions regulate trade?

Which of the following is a proposition of the institution-based view?

Private ownership differs from state ownership in that in private ownership _____.

Identify the basic characteristics of formal and informal institutions.

Institutional framework only pertains to a firm's behavior.

A mixed economy has elements of both a market economy and a command economy.

Which of the following is the argument used by proponents of the "cultural" explanation for the difference in economic development across the globe?

Adopting the Paris Convention is required in order to become a signatory country to the WTO's Agreement on Trade-Related Aspects of Intellectual Property Rights.

In private ownership,liquidation of a firm is forced by competition.

In the United States,only 1 per cent of the land is formally registered.

Which of the following is true of the civil law system?

Globalizing Business

Emphasizing Informal Institutions: Cultures, Ethics, and Norms

Leveraging Resources and Capabilities

Trading Internationally

Investing Abroad Directly

Dealing with Foreign Exchange

Capitalizing on Global and Regional Integration

Growing and Internationalizing the Entrepreneurial Firm

Entering Foreign Markets

Managing Global Competitive Dynamics

Making Alliances and Acquisitions Work

Strategizing,Structuring,and Learning around the World

Competing on Marketing and Supply Chain Management

Managing Human Resources Globally

Financing and Governing the Corporation Globally

Managing Corporate Social Responsibility Globally

Filters