Question 1

Globalization can create benefits for all countries because of

Accepted Answer

A)  stable exchange rates. 
B)  coordinated fiscal policy. 
C)  comparative advantage, specialization, and trade. 
D)  price stability. 
E)  Joseph Stiglitz. 
A)  stable exchange rates. 
B)  coordinated fiscal policy. 
C)  comparative advantage, specialization, and trade. 
D)  price stability. 
E)  Joseph Stiglitz. C

Question 2

The risk of the "Yes - Markets Self-Adjust" camp's hands-off position on globalization is that losers in import-competing industries get no assistance in adjusting to trade.

Accepted Answer

A) True 
 B)False  True

Question 3

In countries that have had sweatshops - England, the U.S., Japan, Korea - standards of living and working conditions have gotten worse over time.

Accepted Answer

A) True 
 B)False  False

Question 4

During the 1990s, the IMF required governments to crack down on bootleg DVDs within their borders before making a development loan.

Accepted Answer

A) True 
 B)False

Question 5

The biggest risk that comes directly from a hands-on globalization policy is that

Accepted Answer

A)  markets will fail. 
B)  losers in import-competing businesses get no assistance in adjusting. 
C)  government gives in to political pressure for protectionism. 
D)  jobs disappear in import-competing industries. 
E)  creative destruction causes poverty and misery before raising overall living standards. 
A)  markets will fail. 
B)  losers in import-competing businesses get no assistance in adjusting. 
C)  government gives in to political pressure for protectionism. 
D)  jobs disappear in import-competing industries. 
E)  creative destruction causes poverty and misery before raising overall living standards.

Question 6

Joseph Stiglitz, the former chief economist at the World Bank, criticized the World Bank's hands-on policies during the 1990s.

Accepted Answer

A) True 
 B)False

Question 7

Creative destruction ultimately raises living standards.

Accepted Answer

A) True 
 B)False

Question 8

For a trade to have mutual benefits, terms of trade must be greater than each trader's local opportunity costs.

Accepted Answer

A) True 
 B)False

Question 9

Anti-globalization critics view sweatshops as exploitation for corporate profits.

Accepted Answer

A) True 
 B)False

Question 10

Figure 1.3.2
Monthly Production Possibilities for a Country Producing Only Hockey Sticks and Maple Leaves
 
-In Figure 1.3.2, moving from possibility c to possibility b, the opportunity cost of producing one additional hockey stick is

Accepted Answer

A)  2 maple leaves. 
B)  3 maple leaves. 
C)  6 maple leaves. 
D)  1/6 maple leaves. 
E)  1/3 maple leaves. 
A)  2 maple leaves. 
B)  3 maple leaves. 
C)  6 maple leaves. 
D)  1/6 maple leaves. 
E)  1/3 maple leaves.

Question 11

Economists might agree with which argument(s) for protectionism?

Accepted Answer

A)  necessary to compete with cheap foreign labour 
B)  saving Canadian jobs 
C)  protecting national security 
D)  reducing the risk of trade retaliation 
E)  all of the above 
A)  necessary to compete with cheap foreign labour 
B)  saving Canadian jobs 
C)  protecting national security 
D)  reducing the risk of trade retaliation 
E)  all of the above

Question 12

Restrictions on the number of international students allowed to study in Canada is an import quota.

Accepted Answer

A) True 
 B)False

Question 13

If Ying must decrease production of some other product to increase his production of houses, then Ying

Accepted Answer

A)  is producing on his production possibilities frontier. 
B)  is producing outside his production possibilities frontier. 
C)  is producing inside his production possibilities frontier. 
D)  must prefer houses to any other product. 
E)  has too little capital equipment. 
A)  is producing on his production possibilities frontier. 
B)  is producing outside his production possibilities frontier. 
C)  is producing inside his production possibilities frontier. 
D)  must prefer houses to any other product. 
E)  has too little capital equipment.

Question 14

Hands-on economists believe that more restrictions should be placed on IMF loans to developing countries.

Accepted Answer

A) True 
 B)False

Question 15

The Economist magazine and hands-off economists argue for a limited role for government in maintaining a social safety net.

Accepted Answer

A) True 
 B)False

Question 16

Economic globalization is the integration of ________ across national borders.

Accepted Answer

A)  sweatshop factories 
B)  government administration 
C)  labour markets 
D)  economic activities 
E)  free market policies 
A)  sweatshop factories 
B)  government administration 
C)  labour markets 
D)  economic activities 
E)  free market policies

Question 17

You have a comparative advantage when your opportunity cost is lower than your competitor's opportunity cost.

Accepted Answer

A) True 
 B)False

Question 18

In a zero sum game

Accepted Answer

A)  collaboration can make everyone better off. 
B)  mutually beneficial gains are possible. 
C)  one person's gain is the other person's loss. 
D)  both players will be worse off. 
E)  both players will be better off. 
A)  collaboration can make everyone better off. 
B)  mutually beneficial gains are possible. 
C)  one person's gain is the other person's loss. 
D)  both players will be worse off. 
E)  both players will be better off.

Question 19

Specialization eliminates

Accepted Answer

A)  scarcity. 
B)  dependency. 
C)  self-sufficiency. 
D)  mutual benefits. 
E)  opportunity cost. 
A)  scarcity. 
B)  dependency. 
C)  self-sufficiency. 
D)  mutual benefits. 
E)  opportunity cost.

Question 20

A Canadian import quota on automobiles produced in Korea would be supported by

Accepted Answer

A)  Canadians who want to buy domestic cars. 
B)  unions representing Korea's auto workers. 
C)  Canadians who want to buy Korean cars. 
D)  unions representing Canada's auto workers. 
E)  economists. 
A)  Canadians who want to buy domestic cars. 
B)  unions representing Korea's auto workers. 
C)  Canadians who want to buy Korean cars. 
D)  unions representing Canada's auto workers. 
E)  economists.

Globalization can create benefits for all countries because of

The risk of the "Yes - Markets Self-Adjust" camp's hands-off position on globalization is that losers in import-competing industries get no assistance in adjusting to trade.

In countries that have had sweatshops - England, the U.S., Japan, Korea - standards of living and working conditions have gotten worse over time.

During the 1990s, the IMF required governments to crack down on bootleg DVDs within their borders before making a development loan.

The biggest risk that comes directly from a hands-on globalization policy is that

Joseph Stiglitz, the former chief economist at the World Bank, criticized the World Bank's hands-on policies during the 1990s.

Creative destruction ultimately raises living standards.

For a trade to have mutual benefits, terms of trade must be greater than each trader's local opportunity costs.

Anti-globalization critics view sweatshops as exploitation for corporate profits.

Figure 1.3.2 Monthly Production Possibilities for a Country Producing Only Hockey Sticks and Maple Leaves -In Figure 1.3.2, moving from possibility c to possibility b, the opportunity cost of producing one additional hockey stick is

Economists might agree with which argument(s) for protectionism?

Restrictions on the number of international students allowed to study in Canada is an import quota.

If Ying must decrease production of some other product to increase his production of houses, then Ying

Hands-on economists believe that more restrictions should be placed on IMF loans to developing countries.

The Economist magazine and hands-off economists argue for a limited role for government in maintaining a social safety net.

Economic globalization is the integration of ________ across national borders.

You have a comparative advantage when your opportunity cost is lower than your competitor's opportunity cost.

In a zero sum game

Specialization eliminates

A Canadian import quota on automobiles produced in Korea would be supported by

Whats in Economics for You Scarcity, Opportunity Cost, Trade, and Models

Making Smart Choices: the Law of Demand

Show Me the Money: the Law of Supply

Coordinating Smart Choices: Demand and Supply

Are Your Smart Choices Smart for All Macroeconomics and Microeconomics

Up Around the Circular Flow: Gdp, Economic Growth, and Business Cycles

Costs of Not Working and Living: Unemployment and Inflation

Skating to Where the Puck Is Going: Aggregate Supply and Aggregate Demand

Money Is for Lunatics: Demanders and Suppliers of Money

Trading Dollars for Dollars Exchange Rates and Payments With the Rest of the World

Steering Blindly Monetary Policy and the Bank of Canada

Spending Others Money: Fiscal Policy, Deficits, and National Debt

Filters

Exam 13: Are Sweatshops All Bad Globalization and Trade Policy

Globalization can create benefits for all countries because of

The risk of the "Yes - Markets Self-Adjust" camp's hands-off position on globalization is that losers in import-competing industries get no assistance in adjusting to trade.

In countries that have had sweatshops - England, the U.S., Japan, Korea - standards of living and working conditions have gotten worse over time.

During the 1990s, the IMF required governments to crack down on bootleg DVDs within their borders before making a development loan.

The biggest risk that comes directly from a hands-on globalization policy is that

Joseph Stiglitz, the former chief economist at the World Bank, criticized the World Bank's hands-on policies during the 1990s.

Creative destruction ultimately raises living standards.

For a trade to have mutual benefits, terms of trade must be greater than each trader's local opportunity costs.

Anti-globalization critics view sweatshops as exploitation for corporate profits.

Figure 1.3.2 Monthly Production Possibilities for a Country Producing Only Hockey Sticks and Maple Leaves -In Figure 1.3.2, moving from possibility c to possibility b, the opportunity cost of producing one additional hockey stick is

Economists might agree with which argument(s) for protectionism?

Restrictions on the number of international students allowed to study in Canada is an import quota.

If Ying must decrease production of some other product to increase his production of houses, then Ying

Hands-on economists believe that more restrictions should be placed on IMF loans to developing countries.

The Economist magazine and hands-off economists argue for a limited role for government in maintaining a social safety net.

Economic globalization is the integration of ________ across national borders.

You have a comparative advantage when your opportunity cost is lower than your competitor's opportunity cost.

In a zero sum game

Specialization eliminates

A Canadian import quota on automobiles produced in Korea would be supported by

Whats in Economics for You Scarcity, Opportunity Cost, Trade, and Models

Making Smart Choices: the Law of Demand

Show Me the Money: the Law of Supply

Coordinating Smart Choices: Demand and Supply

Are Your Smart Choices Smart for All Macroeconomics and Microeconomics

Up Around the Circular Flow: Gdp, Economic Growth, and Business Cycles

Costs of Not Working and Living: Unemployment and Inflation

Skating to Where the Puck Is Going: Aggregate Supply and Aggregate Demand

Money Is for Lunatics: Demanders and Suppliers of Money

Trading Dollars for Dollars Exchange Rates and Payments With the Rest of the World

Steering Blindly Monetary Policy and the Bank of Canada

Spending Others Money: Fiscal Policy, Deficits, and National Debt

Filters