Question

1. The term ‘off-shoring’ refers to the transfer of jobs and industry

a.from developing countries in Asia and Africa to developed Western nations.

b.from developed Western nations to developing countries in Asia and Africa .

c.from developed Western nations to other Western nations only, excluding the developing world entirely.

d.from a manufacturing base to an oil-based economy.

2. Which of the following is an example of a trade barrier?

a.Foreign investment

b.Delivery delay or damage of goods

c.Taxes/tariffs on imports

d.None of the above

3.Glocalization is a combination of the words "globalization" and "localization. Glocalization involves the

a.use of local languages instead of English.
b.stress on local culture instead of American culture.
c.stress on global culture.
d.carrying out of international trade with both local and global considerations in mind.

4. Key multinational organizations for increasing the flow of capitals and goods globally include:

a.US Federal Reserve Board and US General Accounting Office.

b.Canadian House of Commons and Ontario Queen's Park.

c.International Monetary Fund (IMF), World Bank, and World Trade Organization (WTO).

d.International Court of Justice and the United Nations.

5. Globalization leads to:

a.lesser price competition among producers.

b.greater price competition among producers.

c.no price competition between producers.

d.None of the above.

Answer 1

Q1) The answer is b.from developed Western nations to developing countries in Asia and Africa. Offshoring is a process where firms in developed countries make use of the cheaper labor force in developing countries and provide jobs there.

Q2) The answer is (c).Taxes/tariffs on imports. This is the most commonly used trade barrier as it increases the cost of importing goods and thus restricts trade.

Q3) The answer is (d) carrying out of international trade with both local and global considerations in mind. Glocalization is a combination of the word, global and local. Thus, under this approach, both local and global factors are considered.

Q4) The answer is (c) . International Monetary Fund (IMF), World Bank, and World Trade Organization (WTO) as these are the man multilateral organizations that manage the flow of capital, goods and money across countries.