Question 1

In the determination of economic growth,political freedom

Accepted Answer

A) is more important than economic freedom. 
B) appears to be less important than economic freedom. 
C) contributes little to job growth. 
D) is equally as important as economic freedom. 
A) is more important than economic freedom. 
B) appears to be less important than economic freedom. 
C) contributes little to job growth. 
D) is equally as important as economic freedom. B

Question 2

The acquisition of more than 10 percent of the outstanding shares in a company in another country is

Accepted Answer

A) foreign direct investment. 
B) foreign direct acquisition. 
C) portfolio investment. 
D) portfolio acquisition. 
A) foreign direct investment. 
B) foreign direct acquisition. 
C) portfolio investment. 
D) portfolio acquisition. A

Question 3

According to your text,is there any relationship between bureaucratic inefficiency and economic growth?

Accepted Answer

A) Yes-the two are positively related. 
B) Yes,but only in the most economically developed nations. 
C) Yes-the two are inversely related. 
D) No.Some nations' economies thrive in spite of their inefficient governments while others collapse under the weight of stifling bureaucracies. 
A) Yes-the two are positively related. 
B) Yes,but only in the most economically developed nations. 
C) Yes-the two are inversely related. 
D) No.Some nations' economies thrive in spite of their inefficient governments while others collapse under the weight of stifling bureaucracies. C

Question 4

The largest quota subscriber of the International Monetary Fund (IMF)is

Accepted Answer

A) Japan. 
B) Germany. 
C) the United States. 
D) China. 
A) Japan. 
B) Germany. 
C) the United States. 
D) China.

Question 5

The World Bank is

Accepted Answer

A) composed of five separate institutions. 
B) the central bank of the U.S.government. 
C) the official name of the International Monetary Fund. 
D) the central bank of the United Nations. 
A) composed of five separate institutions. 
B) the central bank of the U.S.government. 
C) the official name of the International Monetary Fund. 
D) the central bank of the United Nations.

Question 6

Country X has experienced GDP growth of 6 percent and a population growth of 4 percent.What is this country's growth of per capita real GDP?

Accepted Answer

A) 2 percent 
B) 10 percent 
C) 6 percent 
D) -2 percent 
A) 2 percent 
B) 10 percent 
C) 6 percent 
D) -2 percent

Question 7

Foreign direct investment implies that the investor obtains more than a ________ share in a foreign company's ownership.

Accepted Answer

A) 30 percent 
B) 40 percent 
C) 50 percent 
D) none of the above 
A) 30 percent 
B) 40 percent 
C) 50 percent 
D) none of the above

Question 8

When a nation's currency suddenly loses value,the ________ may step in to buy the afflicted currency.

Accepted Answer

A) World Bank 
B) International Monetary Fund 
C) Federal Reserve Bank 
D) United Nations 
A) World Bank 
B) International Monetary Fund 
C) Federal Reserve Bank 
D) United Nations

Question 9

Which of the following statements about the International Monetary Fund (IMF)is TRUE?

Accepted Answer

A) The IMF was created to finance long-term economic development projects in poor countries. 
B) The IMF was created to reduce tariff barriers between nations. 
C) The IMF functions as a central bank that conducts monetary policy for the world economy. 
D) The IMF obtains funds from quota subscriptions charged to member countries. 
A) The IMF was created to finance long-term economic development projects in poor countries. 
B) The IMF was created to reduce tariff barriers between nations. 
C) The IMF functions as a central bank that conducts monetary policy for the world economy. 
D) The IMF obtains funds from quota subscriptions charged to member countries.

Question 10

The international organization with the sole goal of promoting global antipoverty efforts is the

Accepted Answer

A) World Bank. 
B) International Monetary Fund. 
C) Board of Governors of the Federal Reserve System. 
D) GAE. 
A) World Bank. 
B) International Monetary Fund. 
C) Board of Governors of the Federal Reserve System. 
D) GAE.

Question 11

A nation's account with the International Monetary Fund is known as

Accepted Answer

A) a quota subscription. 
B) monetary deposits. 
C) monetary rights. 
D) international reserves. 
A) a quota subscription. 
B) monetary deposits. 
C) monetary rights. 
D) international reserves.

Question 12

The primary source of funds for the World Bank is

Accepted Answer

A) quota subscriptions. 
B) private financial markets. 
C) the world's wealthiest countries. 
D) the New York Stock Exchange. 
A) quota subscriptions. 
B) private financial markets. 
C) the world's wealthiest countries. 
D) the New York Stock Exchange.

Question 13

International investors are more likely to invest in countries

Accepted Answer

A) where it is relatively easier to establish property rights to capital goods. 
B) where there is a significant amount of dead capital. 
C) which have a high amount of government inefficiency. 
D) where there are barriers to the ownership of capital goods. 
A) where it is relatively easier to establish property rights to capital goods. 
B) where there is a significant amount of dead capital. 
C) which have a high amount of government inefficiency. 
D) where there are barriers to the ownership of capital goods.

Question 14

Political freedom can sometimes moderately reduce economic growth because

Accepted Answer

A) special interest groups may gain at the expense of the overall economy. 
B) campaign contributions rob the economy of investment. 
C) most jobs are in unions that are politically connected. 
D) none of the above. 
A) special interest groups may gain at the expense of the overall economy. 
B) campaign contributions rob the economy of investment. 
C) most jobs are in unions that are politically connected. 
D) none of the above.

Question 15

Which of the following is the term used to describe the expansion of a country's per capita real GDP?

Accepted Answer

A) economic growth 
B) technological change 
C) change in the labor force 
D) change in factor incomes 
A) economic growth 
B) technological change 
C) change in the labor force 
D) change in factor incomes

Question 16

When a foreign company engages in riskier behavior after it has received international investment funds,it is known as

Accepted Answer

A) portfolio investment. 
B) moral hazard. 
C) foreign direct investment. 
D) adverse selection. 
A) portfolio investment. 
B) moral hazard. 
C) foreign direct investment. 
D) adverse selection.

Question 17

Over the past decade,a nation's real Gross Domestic Product (GDP)grew at a constant rate of 10 percent per year while its population grew 8 percent annually.Forecasters predict that during the coming decade,real GDP will continue to grow 10 percent annually,but the population growth rate is expected to drop to 6 percent annually.If the forecasters are correct,which of the following will be true?

Accepted Answer

A) The annual rate of growth of per capita real GDP will decline from 4 percent to 2 percent. 
B) The annual rate of growth of per capita real GDP will decline from 2 percent to 1 percent. 
C) The annual rate of growth of per capita real GDP will increase from 2 percent to 4 percent. 
D) The annual rate of growth of per capita real GDP will increase from 2 percent to 6 percent. 
A) The annual rate of growth of per capita real GDP will decline from 4 percent to 2 percent. 
B) The annual rate of growth of per capita real GDP will decline from 2 percent to 1 percent. 
C) The annual rate of growth of per capita real GDP will increase from 2 percent to 4 percent. 
D) The annual rate of growth of per capita real GDP will increase from 2 percent to 6 percent.

Question 18

The amount of funds that a nation can withdraw from the International Monetary Fund depends upon

Accepted Answer

A) its quota subscription. 
B) whether it is a developing nation or a developed nation. 
C) whether it is seeking a long-term or short-term loan. 
D) the rules set up by the World Bank. 
A) its quota subscription. 
B) whether it is a developing nation or a developed nation. 
C) whether it is seeking a long-term or short-term loan. 
D) the rules set up by the World Bank.

Question 19

All of the following are sources of funding for capital goods in developing countries EXCEPT

Accepted Answer

A) loans from banks. 
B) foreign direct investment. 
C) taxation. 
D) portfolio investment. 
A) loans from banks. 
B) foreign direct investment. 
C) taxation. 
D) portfolio investment.

Question 20

A rapid withdrawal of foreign investments and loans from a nation is

Accepted Answer

A) dead capital. 
B) an international financial crisis. 
C) foreign direct capital. 
D) portfolio investment. 
A) dead capital. 
B) an international financial crisis. 
C) foreign direct capital. 
D) portfolio investment.

In the determination of economic growth,political freedom

The acquisition of more than 10 percent of the outstanding shares in a company in another country is

According to your text,is there any relationship between bureaucratic inefficiency and economic growth?

The largest quota subscriber of the International Monetary Fund (IMF)is

The World Bank is

Country X has experienced GDP growth of 6 percent and a population growth of 4 percent.What is this country's growth of per capita real GDP?

Foreign direct investment implies that the investor obtains more than a ________ share in a foreign company's ownership.

When a nation's currency suddenly loses value,the ________ may step in to buy the afflicted currency.

Which of the following statements about the International Monetary Fund (IMF)is TRUE?

The international organization with the sole goal of promoting global antipoverty efforts is the

A nation's account with the International Monetary Fund is known as

The primary source of funds for the World Bank is

International investors are more likely to invest in countries

Political freedom can sometimes moderately reduce economic growth because

Which of the following is the term used to describe the expansion of a country's per capita real GDP?

When a foreign company engages in riskier behavior after it has received international investment funds,it is known as

The amount of funds that a nation can withdraw from the International Monetary Fund depends upon

All of the following are sources of funding for capital goods in developing countries EXCEPT

A rapid withdrawal of foreign investments and loans from a nation is

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

The Macroeconomy: Unemployment, inflation, and Deflation

Measuring the Economys Performance

Global Economic Growth and Development

Real GDP and the Price Level in the Long Run

Classical and Keynesian Macro Analyses

Consumption, real GDP, and the Multiplier

Fiscal Policy

Deficit Spending and the Public Debt

Money, banking, and Central Banking

Domestic and International Dimensions of Monetary Policy

Stabilization in an Integrated World Economy

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters

Exam 18: Policies and Prospects for Global Economic Growth

In the determination of economic growth,political freedom

The acquisition of more than 10 percent of the outstanding shares in a company in another country is

According to your text,is there any relationship between bureaucratic inefficiency and economic growth?

The largest quota subscriber of the International Monetary Fund (IMF)is

The World Bank is

Country X has experienced GDP growth of 6 percent and a population growth of 4 percent.What is this country's growth of per capita real GDP?

Foreign direct investment implies that the investor obtains more than a ________ share in a foreign company's ownership.

When a nation's currency suddenly loses value,the ________ may step in to buy the afflicted currency.

Which of the following statements about the International Monetary Fund (IMF)is TRUE?

The international organization with the sole goal of promoting global antipoverty efforts is the

A nation's account with the International Monetary Fund is known as

The primary source of funds for the World Bank is

International investors are more likely to invest in countries

Political freedom can sometimes moderately reduce economic growth because

Which of the following is the term used to describe the expansion of a country's per capita real GDP?

When a foreign company engages in riskier behavior after it has received international investment funds,it is known as

The amount of funds that a nation can withdraw from the International Monetary Fund depends upon

All of the following are sources of funding for capital goods in developing countries EXCEPT

A rapid withdrawal of foreign investments and loans from a nation is

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

The Macroeconomy: Unemployment, inflation, and Deflation

Measuring the Economys Performance

Global Economic Growth and Development

Real GDP and the Price Level in the Long Run

Classical and Keynesian Macro Analyses

Consumption, real GDP, and the Multiplier

Fiscal Policy

Deficit Spending and the Public Debt

Money, banking, and Central Banking

Domestic and International Dimensions of Monetary Policy

Stabilization in an Integrated World Economy

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters