Question 1

"Not all democracies are free,as some still restrict certain political and civil liberties." Which of the following countries best fits this argument?

Accepted Answer

A)  Australia
B)  United States
C)  Great Britain
D)  Russia
E)  CanadaF) B) and E)
G) C) and E)

Question 2

Which of the following is most likely to be implemented by a country as a part of deregulation?

Accepted Answer

A)  prohibition of private enterprises from operating in certain sectors
B)  commitment toward communism
C)  removal of price controls
D)  centrally planned economic system
E)  increased restrictions on foreign direct investmentF) C) and D)
G) A) and C)

Question 3

As a result of _____,large amounts of economic activity in India are unrecorded and the official GDP figures of the country fail to tell the entire story of the economy.

Accepted Answer

A)  a large population
B)  active bartering
C)  deregulation
D)  nationalization
E)  closed totalitarianismF) A) and C)
G) None of the above

Question 4

The Human Development Index comes close to Amartya Sen's conception of how development should be measured,although which of the following,suggested by Sen in his thesis,is not included in the index?

Accepted Answer

A)  basic health care
B)  political freedom
C)  educational attainment
D)  basic average income
E)  life expectancy at birthF) None of the above
G) B) and E)

Question 5

The government of Nerumbia wants to open the country's economy to international business,and increase its overall attractiveness as a potential market or investment site.Which of the following will facilitate this decision of the Nerumbian government?

Accepted Answer

A)  shifting toward command economy or an economy where property rights are not enforced strictly
B)  investing in infrastructure and in the required supporting businesses
C)  frequently changing the government and the government policies
D)  maintaining a high inflation rate
E)  adopting a legal system which does not provide any protection for intellectual property rightsF) A) and C)
G) A) and E)

Question 6

Economists who argue that innovation and entrepreneurial activity are the engines of long-run economic growth,define innovation broadly to include not just new products but also new processes,new organizations,new management practices,and new strategies.

Accepted Answer

A) True 
 B)False

Question 7

The government of Great Lanthania is planning to adopt a market-based economic system.To be able to do so,the government of this country should

Accepted Answer

A)  abolish the laws that deal with protection of property rights.
B)  introduce stringent foreign investment regulations.
C)  increase its intervention in the economy.
D)  adopt privatization.
E)  oppose democracy.F) A) and E)
G) D) and E)

Question 8

Which of the following statements is true about innovations and entrepreneurship?

Accepted Answer

A)  A command economy creates greater incentives for innovation and entrepreneurship than a market economy.
B)  If a country's economy is to sustain long-run economic growth,the business environment must restrict entrepreneurial activity.
C)  A high level of entrepreneurial activity leads to a low level of innovation.
D)  Innovations in production and business processes lead to an increase in the productivity of labor and capital.
E)  Strong legal protection of property rights creates an unfavorable environment for innovation and entrepreneurship.F) B) and D)
G) B) and C)

Question 9

Discuss the significance of legal systems in the context of shifting toward a market-based economic system.

Accepted Answer

A well-functioning market economy requir...

Question 10

A strong belief that economic progress leads to adoption of a totalitarian regime underlies the fairly permissive attitude that many Western governments have adopted toward human rights violations in China.

Accepted Answer

A) True 
 B)False

Question 11

A country's economic system and property rights regime do not influence the attractiveness of the country as a market or investment site.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following statements is true about the changing economic system since the 1980s?

Accepted Answer

A)  There has been a shift from market-based economies to centrally planned economies.
B)  There has been a shift away from a mixed economy.
C)  Many states have restricted the sale of state-owned businesses to private investors.
D)  The competition between economies has been reducing.
E)  The extent to which property rights are protected has declined.F) A) and E)
G) A) and D)

Question 13

In the context of global economy,which of the following has been widely accepted since the late 1980s?

Accepted Answer

A)  centrally planned command economy
B)  mixed economy
C)  nationalization of private property
D)  deregulation of economies
E)  authoritarian regimeF) B) and D)
G) A) and D)

Question 14

The work by Jeffrey Sachs suggests that investments in which of the following help explain why some countries in Southeast Asia have been able to overcome the disadvantages associated with their tropical geography and grow far more rapidly than tropical nations in Africa and Latin America?

Accepted Answer

A)  nuclear weapons
B)  education
C)  terrorist activities
D)  nationalization of private properties
E)  active barteringF) B) and D)
G) A) and E)

Question 15

Which of the following statements is most likely to be true about the economic prospects of a country?

Accepted Answer

A)  The economic system and property rights regime are reasonably good predictors of economic prospects of a country.
B)  Countries with command economies tend to achieve greater economic growth rates than free market economies.
C)  Countries which do not provide any protection for property rights tend to achieve greater economic growth rates than the countries in which property rights are protected.
D)  Countries where property rights are not well respected and where corruption is rampant always have very low levels of economic growth.
E)  The advantages of building brand loyalty and gaining experience in a country's business practices is greater for a last-mover than for a first-mover.F) B) and C)
G) B) and E)

Question 16

In both China and India,the shift toward a command-based economic system has produced large gains despite weak property rights and endemic corruption.

Accepted Answer

A) True 
 B)False

Question 17

The United Nation of Zorwaya has strict restrictions on direct investment by foreign enterprises,and it opposes the establishment and operation of private enterprises.The highest authority in the country enforces tight control over prices and production output.According to this information,the United Nation of Zorwaya most likely opposes

Accepted Answer

A)  nationalization of private assets.
B)  deregulation.
C)  socialism.
D)  totalitarian ideologies.
E)  command economies.F) A) and B)
G) C) and E)

Question 18

Which of the following creates an unfavorable environment for innovations and entrepreneurship?

Accepted Answer

A)  market economy
B)  economic freedom
C)  state monopoly in production
D)  privatization
E)  strong legal protection of property rightsF) B) and E)
G) C) and D)

Question 19

Although China and India are very large markets when measured by number of consumers,they are relatively small markets when measured in economic terms due to their

Accepted Answer

A)  orientation toward democracy.
B)  small share in the world output.
C)  high living standards.
D)  limited purchasing power.
E)  commitment to a free market system.F) C) and E)
G) C) and D)

Question 20

Many totalitarian regimes failed to deliver economic progress to the vast bulk of their populations.

Accepted Answer

A) True 
 B)False

Exam 3: National Differences in Economic Development

A strong belief that economic progress leads to adoption of a totalitarian regime underlies the fairly permissive attitude that many Western governments have adopted toward human rights violations in China.

Correct Answer
verified

Which of the following statements is true about innovations and entrepreneurship?

Correct Answer
verified

Although China and India are very large markets when measured by number of consumers,they are relatively small markets when measured in economic terms due to their

Correct Answer
verified

Which of the following creates an unfavorable environment for innovations and entrepreneurship?

Correct Answer
verified

As a result of _____,large amounts of economic activity in India are unrecorded and the official GDP figures of the country fail to tell the entire story of the economy.

Correct Answer
verified

Which of the following is most likely to be implemented by a country as a part of deregulation?

Correct Answer
verified

Correct Answer
verified

Which of the following statements is most likely to be true about the economic prospects of a country?

Correct Answer
verified

Which of the following statements is true about the changing economic system since the 1980s?

Correct Answer
verified

Many totalitarian regimes failed to deliver economic progress to the vast bulk of their populations.

Correct Answer
verified

A country's economic system and property rights regime do not influence the attractiveness of the country as a market or investment site.

Correct Answer
verified

The work by Jeffrey Sachs suggests that investments in which of the following help explain why some countries in Southeast Asia have been able to overcome the disadvantages associated with their tropical geography and grow far more rapidly than tropical nations in Africa and Latin America?

Correct Answer
verified

"Not all democracies are free,as some still restrict certain political and civil liberties." Which of the following countries best fits this argument?

Correct Answer
verified

Economists who argue that innovation and entrepreneurial activity are the engines of long-run economic growth,define innovation broadly to include not just new products but also new processes,new organizations,new management practices,and new strategies.

Correct Answer
verified

In the context of global economy,which of the following has been widely accepted since the late 1980s?

Correct Answer
verified

The Human Development Index comes close to Amartya Sen's conception of how development should be measured,although which of the following,suggested by Sen in his thesis,is not included in the index?

Correct Answer
verified

In both China and India,the shift toward a command-based economic system has produced large gains despite weak property rights and endemic corruption.

Correct Answer
verified

The government of Nerumbia wants to open the country's economy to international business,and increase its overall attractiveness as a potential market or investment site.Which of the following will facilitate this decision of the Nerumbian government?

Correct Answer
verified

Discuss the significance of legal systems in the context of shifting toward a market-based economic system.

Correct Answer
verified
A well-functioning market economy requir...
View Answer

The government of Great Lanthania is planning to adopt a market-based economic system.To be able to do so,the government of this country should

Correct Answer
verified

Exam 3: National Differences in Economic Development

A strong belief that economic progress leads to adoption of a totalitarian regime underlies the fairly permissive attitude that many Western governments have adopted toward human rights violations in China.

Correct AnswerverifiedShow Answer

Which of the following statements is true about innovations and entrepreneurship?

Correct AnswerverifiedShow Answer

Although China and India are very large markets when measured by number of consumers,they are relatively small markets when measured in economic terms due to their

Correct AnswerverifiedShow Answer

Which of the following creates an unfavorable environment for innovations and entrepreneurship?

Correct AnswerverifiedShow Answer

As a result of _____,large amounts of economic activity in India are unrecorded and the official GDP figures of the country fail to tell the entire story of the economy.

Correct AnswerverifiedShow Answer

Which of the following is most likely to be implemented by a country as a part of deregulation?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Which of the following statements is most likely to be true about the economic prospects of a country?

Correct AnswerverifiedShow Answer

Which of the following statements is true about the changing economic system since the 1980s?

Correct AnswerverifiedShow Answer

Many totalitarian regimes failed to deliver economic progress to the vast bulk of their populations.

Correct AnswerverifiedShow Answer

A country's economic system and property rights regime do not influence the attractiveness of the country as a market or investment site.

Correct AnswerverifiedShow Answer

The work by Jeffrey Sachs suggests that investments in which of the following help explain why some countries in Southeast Asia have been able to overcome the disadvantages associated with their tropical geography and grow far more rapidly than tropical nations in Africa and Latin America?

Correct AnswerverifiedShow Answer

"Not all democracies are free,as some still restrict certain political and civil liberties." Which of the following countries best fits this argument?

Correct AnswerverifiedShow Answer

Economists who argue that innovation and entrepreneurial activity are the engines of long-run economic growth,define innovation broadly to include not just new products but also new processes,new organizations,new management practices,and new strategies.

Correct AnswerverifiedShow Answer

In the context of global economy,which of the following has been widely accepted since the late 1980s?

Correct AnswerverifiedShow Answer

The Human Development Index comes close to Amartya Sen's conception of how development should be measured,although which of the following,suggested by Sen in his thesis,is not included in the index?

Correct AnswerverifiedShow Answer

In both China and India,the shift toward a command-based economic system has produced large gains despite weak property rights and endemic corruption.

Correct AnswerverifiedShow Answer

The government of Nerumbia wants to open the country's economy to international business,and increase its overall attractiveness as a potential market or investment site.Which of the following will facilitate this decision of the Nerumbian government?

Correct AnswerverifiedShow Answer

Discuss the significance of legal systems in the context of shifting toward a market-based economic system.

Correct AnswerverifiedA well-functioning market economy requir...View AnswerShow Answer

The government of Great Lanthania is planning to adopt a market-based economic system.To be able to do so,the government of this country should

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
verified
A well-functioning market economy requir...
View Answer

Correct Answer
verified