Business Management Review Part 2

Question 1

A(n) ___ is the ability to produce a good or service at a lower cost than another country.

Accepted Answer

absolute advantage

Question 2

Which trade barriers provides the greatest protection for a country&#x27;s domestic industry from international competition?

Accepted Answer

embargoes

Question 3

The ____ states producers should produce the goods most efficient at producing and purchase from others

Accepted Answer

law of comparative advantage

Question 4

Which of the following situations in a country would likely cause the currency to rise?

Accepted Answer

a low interest rate

Question 5

If a country is seen as self-sufficient,

Accepted Answer

they produce the goods and services they consume within their own country

Question 6

Which of the following is NOT considered a cultural factor that impacts the international business environment?

Accepted Answer

infrastructure

Question 7

Literacy level is a key factor impacting a country&#x27;s economic development.

Accepted Answer

True

Question 8

Which is question #3

Accepted Answer

Whom could your decision or action injure?

Question 9

Which of the following is NOT considered part of a country&#x27;s infrastructure?

Accepted Answer

all of these ARE considered part of a country&#x27;s infrastructure

Question 10

A(n) ____ is the value of a currency of one country compared with the value of another.

Accepted Answer

balance of payments

Question 11

Which is question #5

Accepted Answer

Could you disclose without qualm your decision or action to your boss?

Question 12

Quotas are examples of informal trade barriers

Accepted Answer

False

Question 13

Which of the following statements explains why countries trade? (check all that apply)

Accepted Answer

Different countries are endowed with different resources., A country may not be able to produce a good it wants., A country may have an advantage over other countries in particular G&S

Question 14

An attitude that encourages domestic purchases and protects U.S. manufacturing is known as ____.

Accepted Answer

protectionism

Question 15

A country may set a quota to protect one of its industries from too much foreign competition.

Accepted Answer

True

Question 16

A country that exports more than it imports is said to have a

Accepted Answer

trade surplus

Question 17

Which is question #4

Accepted Answer

Are you confident your position will be as valid over a long period oftime?

Question 18

Which of the following actions would NOT help reduce the trade deficit?

Accepted Answer

decrease exports

Question 19

The international organization that settles trade disagreements and enforces free-trade agreements is the

Accepted Answer

WTO

Question 20

Which is question #2

Accepted Answer

How would you define the problem if you stood on the other side

Question 21

Which is question #1

Accepted Answer

Have you defined the problem accurately?

Question 22

NAFTA is an example of a trade barrier

Accepted Answer

False

Question 23

Which of the following is NOT one of the four main factors of the international business environment?

Accepted Answer

individual needs

Question 24

A free-trade zone is where products can be imported duty-free and then stored, assembled, and/or used in manufacturing.

Accepted Answer

True

Question 25

NAFTA is an example of a(n)

Accepted Answer

trade agreement

Question 26

The value of a country&#x27;s currency is likely to decline as a result of

Accepted Answer

higher inflation

Question 27

Which of the following is considered a cultural factor of the international business environment?

Accepted Answer

religion

Question 28

Goods and services that are sold abroad are known as

Accepted Answer

exports

Question 29

Which of the following statements BEST describes how the balance of trade differs from balance of payments?

Accepted Answer

Balance of trade the value of G&S, balance of payment includes investments

Business Management Review Part 2

Questions 29

Business Management Review Part 2

Questions 29