Ch10 Test Bank Global Political Economy North

1) Populist, anti-globalist uprisings are happening in all of these places except for_________________.

Feedback:factual

Chapter Section Reference: Chapter Opener

a. United Kingdom

b. Italy

c. Singapore

d. United States

2) The economic crisis that engulfed the globe in ______ became the longest recession since the Great Depression of the 1930s.

Feedback:applied

Chapter Section Reference: Chapter Opener

a. 2000

b. 2010

c. 2008

d. 2003

3) “America First” economic policies are attributed to ___________ foreign policies.

Feedback:factual

Chapter Section Reference: Chapter Opener

a. President Obama’s

b. President Tump’s

c. President Nixon’s

d. President Ragan’s

4) In 2018 the Trump administration began a trade war with ___________________.

Feedback:conceptual

Chapter Section Reference: Chapter Opener

a. Norway

b. China

c. Brazil

d. Russia

5) Trump’s approach to foreign policy is challenging the value of liberal economic order, the core of the global economic system that has been in place for over ___________.

Feedback:conceptual

Chapter Section Reference: Chapter Opener

a. 100 years

b. 70 years

c. 50 years

d. 45 years

6) Internationalism is largely associated with _____________.

Feedback:factual

Chapter Section Reference: Theories of Global Political Economy

a. Constructivism

b. World System Theory

c. Liberalism

d. Realism

7) Which of the following theories are the least likely to be used by scholars to explain the interaction between politics and economics?

Feedback:applied

Chapter Section Reference: Theories of Global Political Economy

a. Feminism

b. Economic nationalism

c. Internationalism

d. the World Systems Approach

8) _______________ is the dominant economic school underlying the Bretton Woods system.

Feedback:conceptual

Chapter Section Reference: Theories of Global Political Economy

a. Constructivism

b. Socialism

c. Internationalism

d. Realism

9) ____________________ is the realpolitik belief that the state should use its economic strength to further national interests.

Feedback:applied

Chapter Section Reference: Theories of Global Political Economy

a. Globalization

b. Economic nationalism

c. Internationalism

d. Socialism

10) Economic gain by directly controlling another land, its people, and its resources could best described as __________________.

Feedback:applied

Chapter Section Reference: Economic Nationalism

a. materialism

b. colonialism

c. liberalism

d. nationalism

11) According to ________________ economic structure is a primary factor in shaping political relationships and the power they engender.

Feedback:applied

Chapter Section Reference: World Systems

a. the World Systems Approach

b. Economic nationalism

c. Internationalism

d. Liberalism

12) Dependency theory is derived from a_____________________.

Feedback:applied

Chapter Section Reference: World Systems

a. Feminist perspective

b. Realist perspective

c. World Systemsperspective

d. Liberalist perspective

13) According to internationalism, the international economy is ___________.

Feedback:applied

Chapter Section Reference: Internationalism

a. a non-zero-sum game

b. a zero-sum game

c. a balance of power game

d. an imperialist power game

14) At the core of internationalism, there is the liberal belief that states should engage in trade according to their _____________.

Feedback:factual

Chapter Section Reference: Internationalism

a. enough advantage

b. comparative advantage

c. direct advantage

d. absolute advantage

15) Economic nationalists equate roughly with _________________ perspectives.

Feedback:conceptual

Chapter Section Reference: Theories of Global Political Economy

a. Realist

b. Constructivist

c. Liberalist

d. Feminist

16) An economic nationalist would support all of the following except _________________.

Feedback:applied

Chapter Section Reference: Economic Nationalism

a. tariff barriers

b. free flow of currency

c. sanctions

d. foreign aid

17) The origins of economic liberalism are rooted in _________________.

Feedback:conceptual

Chapter Section Reference: Internationalism

a. transnationalism

b. capitalism

c. socialism

d. regionalism

18) Gross national product (GNP) is the ________________________________.

Feedback:conceptual

Chapter Section Reference: A Note on Statistics

a. is the amount of products produced in the country

b. the value of all domestic and international economic activity by a country’s citizens and business

c. the value of a national economy

d. the value of trade in a country

19) Gross domestic product (GDP) is the _____________.

Feedback:conceptual

Chapter Section Reference: A Note on Statistics

a. the total value of goods and service within a country by its citizens

b. the total of goods produced in a country

c. is the value of all economic activity within a country by its own and foreign individuals and companies

d. the total value of manufactured goods produced in a country

20) _____________ is most frequently associated with imports and exports.

Feedback:conceptual

Chapter Section Reference: Trade

a. Free Trade

b. Wholesale trade

c. Merchandise trade

d. Manufactured Trade

21) Current dollars _________________________________.

Feedback:conceptual

Chapter Section Reference: A Note on Statistics

a. is the level of disposable income

b. is the strength of the circular flow of income

c. report values in terms of the worth of the currency in the year being reported

d. is the total savings in any given year

22) The Wealth of Nations was written by ________________.

Feedback:factual

Chapter Section Reference: Internationalism

a. Milton Friedman

b. Adam Smith

c. John Bates Clark

d. Thomas Robert Malthus

23) Real dollars ____________________________________.

Feedback:conceptual

Chapter Section Reference: A Note on Statistics

a. is the total value of currency in a given year

b. is the total value of disposable income

c. is the total savings in any given year

d. express value of currency in terms of a base year adjusted for inflation

24) The revenue that U.S. trucks get from carrying goods into Mexico or Canada would be considered a _____________.

Feedback:conceptual

Chapter Section Reference: Trade

a. Wholesale trade

b. Merchandise trade

c. Manufactured Trade

d. Service Trade

25) During 2018, there were about __________ foreign students studying in U.S. colleges.

Feedback:factual

Chapter Section Reference: Trade

a. 2.3 million

b. 1.1 million

c. 5.6 million

d. 3.7 million

26) For the U.S. economy, trade amounted to _____________ in 1900.

Feedback:factual

Chapter Section Reference: Trade

a. a little over $2 billion

b. about $6 billion

c. a little less than $10 billion

d. about $8 billion

27) The Industrial Revolution began in _________________.

Feedback:factual

Chapter Section Reference:Trade

a. 19th-century Europe

b. 17th-century Europe

c. 18th-century Europe

d. 16th-century Europe

28) Trade in raw materials imported by the industrialized European countries peaked during the ________________.

Feedback:factual

Chapter Section Reference: Trade

a. 19th-century

b. 17th-century

c. 18th-century

d. 16th-century

29) Today, primary products account to about ___________ of all goods in international trade

Feedback:factual

Chapter Section Reference: Trade

a. one-half

b. one-third

c. one-fifth

d. one-quarter

30) All of these factors have helped an increase in trade except for ______________________.

Feedback:conceptual

Chapter Section Reference: Trade

a. improved production technology

b. materialism

c. protectionism

d. free trade philosophy

31) Which of the following was an early advocate of free trade?

Feedback:applied

Chapter Section Reference: Trade

a. Adam Smith

b. Raúl Prebisch

c. Jean Piaget

d. Marie Dentière

32) The 1930s is well known for which of the following?

Feedback:factual

Chapter Section Reference: Trade

a. Prohibition in the United States

b. World War II

c. Word War I

d. the Great Depression

33) Many scholars have blamed _______________ for the Great Depression.

Feedback:conceptual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. free trade

b. economic nationalist policies

c. military intervention

d. agriculture surplus

34) Americans had just over _____________ in direct investment abroad in 2017

Feedback:factual

Chapter Section Reference: International Investment

a. $4 trillion

b. $8 trillion

c. $6 trillion

d. $10 trillion

35) For the U.S. economy, trade amounted to _____________ in 2017.

Feedback:factual

Chapter Section Reference: Trade

a. about $2.1 trillion

b. about $7 trillion

c. about $4.5 trillion

d. about $6.3 trillion

36) ___________ account for the lion’s share of global foreign investment.

Feedback:factual

Chapter Section Reference: International Investment

a. MNCs

b. IGOs

c. NGOs

d. nation states

37) MNCs date back at least to the Dutch East India Company in _____________.

Feedback:factual

Chapter Section Reference: International Investment

a. 1612

b. 1625

c. 1630

d. 1602

38) Currently there are over ___________ MNCs in existence.

Feedback:factual

Chapter Section Reference: International Investment

a. 90,000

b. 100,000

c. 60,000

d. 70,000

39) The U.S. has flagged which of these companies has as a national security threat?

Feedback:factual

Chapter Section Reference: International Investment

a. Deutsche Telekom

b. Huawei

c. Motorola

d. Nokia

40) Foreigners had about _______________ directly invested in the United States.

Feedback:factual

Chapter Section Reference: International Investment

a. $2.5 trillion

b. $4.4 trillion

c. $3.3 trillion

d. $5.1 trillion

41) In 2017 an estimated amount of ____________ flowed through the world economy.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. $3.2 quadrillion

b. $2.4 quadrillion

c. $1.2 quadrillion

d. $5.3 quadrillion

42) The values of currencies in relation to each other is known as _______________.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. rates of currency

b. exchange rates

c. currency trade

d. monetary relations

43) ________ is when rates are held constant or allowed to fluctuate within very narrow bands.

Feedback:applied

Chapter Section Reference: Monetary RelationsThe World Economy: Globalization and Interdependency

a. flat rate

b. fixed rate

c. system rate

d. currency rate

44) The Chinese government is moving away from a fixed currency to a ____________.

Feedback:applied

Chapter Section Reference: Monetary Relations

a. direct rate

b. fluctuating rate

c. managed floating system

d. flat rate

45) A situation in which the home currency’s value is fixed to a foreign currency is known as ________.

Feedback:applied

Chapter Section Reference: Monetary Relations

a. flat rate

b. pegged exchange rate

c. fixed rate

d. system rate

46) The trade currency market is valued at over ____________a day.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. $8 trillion

b. $3 trillion

c. $5 trillion

d. $2 trillion

47) The top three largest banks as defined by assets are all based in _______________.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. China

b. the EU

c. the U.S.

d. Russia

48) _____________ American banks were among the top 10 banks globally in 2019.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. three

b. five

c. four

d. six

49) The U.S. Smoot-Hawley Tariff Act was enacted in ___________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 1934

b. 1930

c. 1923

d. 1929

50) Cordell Hull was the Secretary of State to ______________________________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. President Woodrow Wilson

b. President Franklin Roosevelt

c. President Herbert Hoover

d. President Dwight D. Eisenhower

51) The Bretton Woods conference was held in ________________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 1944

b. 1945

c. 1940

d.1943

52) How many countries attended the Bretton Woods conference?

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 64

b. 50

c. 55

d. 44

53) Which of the following was not one of the institutions created by the Bretton Woods conference?

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. International Monetary Fund

b. the International Bank for Reconstruction and Development

c. the International Finance Corporation

d. the International Trade Organization

54) Currencies under the original IMF structure had fixed values and were pegged ___________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. the Japanese yen

b. the U.S. dollar

c. the British pound

d. to gold

55) The fixed exchange rate system of the IMF fell apart in the early _____________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 1960s

b. 1980s

c. 1970s

d. 1950s

56) Today the IMF uses a(n) ________________________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. indirect currency system

b. fluctuating currency system

c. floating currency system

d. direct currency system

57) The International Bank for Reconstruction and Development was established _________________.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. to provide infrastructure loans to the Global South

b. to provide loans for war efforts post-Vietnam

c. to provide longer-term loans to countries rebuilding their post-World War II

d. as a continuation of war by other means

58) In ______________ GATT became the World Trade Organization.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 1992

b. 1995

c. 1999

d. 1990

59) The International Trade Organization (ITO) was unsuccessful because of________________________.

Feedback:applied

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. global protest

b. a lack of compliance mechanisms

c. a lack of organization

d. Republican opposition

60) When companies in the United States and others in the North are hiring workers abroad,they are ______________.

Feedback:factual

Chapter Section Reference: Changes in the North’s Economic Climate

a. outsourcing

b. being internationalist

c. being innovative

d. being considerate

61) About ____________________ of factory output in the United States “goes into the production of weapons sold mainly to the Defense Department for use by the armed forces”.

Feedback:factual

Chapter Section Reference: Changes in the North’s Political Climate

a. 15%

b. 10%

c. 8%

d. 12%

62) The WTO began with a membership of ___________ countries.

Feedback:factual

Chapter Section Reference: Trade Cooperation Under the WTO

a. 41

b. 37

c. 23

d. 55

63) Which of these countries is well known for administering fixed rates?

Feedback:applied

Chapter Section Reference: Monetary Relations

a. Tanzania

b. The U.S.

c. India

d. Saudi Arabia

64) The Smoot-Hawley Tariff act imposed an effective average tariff rate of ___________ on imports.

Feedback:factual

Chapter Section Reference: Bretton Woods: Institutions for Peace or Oppression?

a. 37%

b. 49%

c. 53%

d. 29%

65) The average annual real GDP growth rate of the North during the 1980s was ______________.

Feedback:factual

Chapter Section Reference: Changes in the North’s Economic Climate

a. 3.4%.

b. 6.1%.

c. 5.2%.

d. 8.3%.

66) Most Council sessions of the EU are held in________, the principal site of the EU administration.

Feedback:conceptual

Chapter Section Reference: Governing Structures and the Authority of the EU

a. Berlin, Germany

b. Brussels, Belgium

c. Madrid, Spain

d. Paris, France

67) Mercosur was established in _________________.

Feedback:factual

Chapter Section Reference: Mercosur

a. 1994

b. 2001

c. 1995

d. 1990

68) The International Development Association (IDA) was created in_____________.

Feedback:factual

Chapter Section Reference: World Bank Operations

a. 1953

b. 1945

c. 1960

d. 1956

69) When did the IMF begin financial operations?

Feedback:factual

Chapter Section Reference: Monetary Cooperation in Support of Development: The IMF

a. in 1947

b. in 1950

c. in 1945

d. in 1949

70) In ___________ Mexico pegged the peso to the U.S. dollar.

Feedback:factual

Chapter Section Reference: Monetary Relations

a. 1981

b. 2000

c. 1994

d. 2002

71) The Asian financial crises took place in the late_______________.

Feedback:factual

Chapter Section Reference: Role of the IMF

a. 1990s

b. 2000s

c. 1980s

d. 1970s

72) The WTO’s headquarters is in _______________.

Feedback:factual

Chapter Section Reference: Trade Cooperation Under the WTO

a. Bonn, Germany

b. Geneva, Switzerland

c. Paris, France

d. Washington, D.C., United States

73) In recent years the WTO judicial process has been hearing an average of __________ cases annually.

Feedback:factual

Chapter Section Reference: Trade Cooperation Under the WTO

a. 70

b. 80

c. 50

d. 100

74) The IMF can borrow up to ________________ to meet emergency needs.

Feedback:factual

Chapter Section Reference: Monetary Cooperation in the Support of Development: The IMF

a. $30 billion

b. $20 billion

c. $15 billion

d. $25 billion

75) The value of IMF resources is expressed in terms of _________________.

Feedback:conceptual

Chapter Section Reference: Monetary Cooperation in Support of Development: The IMF

a. U.S. currency

b. the gold price

c. special drawing rights

d. UK currency

76) The most recent WTO trade negotiation was held in _________________.

Feedback:factual

Chapter Section Reference: The Dominant Global Economic Institutions

a. London

b. Sydney

c. Santiago

d. Qatar

77) In 2019 the WTO has _________________ member countries.

Feedback:factual

Chapter Section Reference: The Dominant Global Economic Institutions

a. 164

b. 192

c. 181

d. 173

Type: essay/short answer question

Title: Chapter 10 Question 01

1) In 100 words, make arguments for and against economic nationalism.

Feedback: What are some examples of economic nationalism from the chapter?

 Highlight institutions and policies that facilitate economic nationalism.

 Examine those who are positively and negatively impacted by economic nationalism.

Type: essay/short answer question

Title: Chapter 10 Question 02

2) In 100 words, provide examples of the various factors that promote and expand trade.

Feedback: Explain some of the characteristics of materialism.

 Examine the impact of modern transportation and technology on development.

 Outline the philosophies of free trade.

Type: essay/short answer question

Title: Chapter 10 Question 03

3) In 100 words, discuss the legacy of colonialism.

Feedback: Explain what colonialism is.

 Discuss the current impact of colonialism on both the Global North and the Global South.

 Examine the current issues of imperialism.

Type: essay/short answer question

Title: Chapter 10 Question 04

4) Describe the role of the International Monetary Fund (IMF) in global politics.

Feedback: How is the IMF governance structured?

 What are the main functions of the IMF?

 What are some of the main criticisms of the IMF?

Type: essay/short answer question

Title: Chapter 10 Question 05

5) Describe the role of the World Bank in global politics.

Feedback: How is the World Bank governance structured?

 What are the main functions of the World Bank?

 What are some of the main criticisms of the World Bank?

Type: essay/short answer question

Title: Chapter 10 Question 06

6) Describe the role of the World Trade Organization (WTO) in global politics.

Feedback: How is the WTO governance structured?

 What are the main functions of the WTO?

 What are some of the main criticisms of the WTO?

Type: essay/short answer question

Title: Chapter 10 Question 07

7) Discuss the impact of the Organization for Economic Cooperation and Development (OECD) on global politics.

Feedback:  Who are the members of the OECD?

 What is the main purpose of the OECD?

 What are some of the criticisms of the OEDC?

Type: essay/short answer question

Title: Chapter 10 Question 08

8) Discuss the impact of the Group of Eight (G-8)

Feedback: Define complex dependency theory. Who are the members of the G8?

 What is the main purpose of the G-8?

 What are some of the criticisms of the G-8?

 Why was Russia expelled from the G-8?

Type: essay/short answer question

Title: Chapter 10 Question 09

9) What is a Free Trade Agreement (FTA)?

Feedback: Give examples of FTA.

 Who benefits from FTAs?

 Discuss what regional trade agreement FTAs are?

Type: essay/short answer question

Title: Chapter 10 Question 10

10) Reflect on the importance of the Bretton Woods conference of 1944.

Feedback: Who were the main architects of the Bretton Woods conference?

 What were the goals of the Bretton Woods conference of 1944?

 What are some of the legacies of the Bretton Woods conference of 1944?

Type: essay/short answer question

Title: Chapter 10 Question 11

11) Reflect on the positive and negative impacts of the EU.

Feedback: Why was the EU formed?

 How has the EU positively impacted the lives of its citizens?

 What are some of the constraints posed by the EU on its citizens and member states?

Type: essay/short answer question

Title: Chapter 10 Question 12

12) The United States Mexico Canada Agreement (USMCA), was championed by President Trump as a replacement for the North American Free Trade Agreement (NAFTA). However, trade relations among the U.S., Mexico, and Canada arestill uncertain and volatile. Identify the reason for the uncertainties in U.S.-Mexico-Canada trade relations.

Feedback: What are the main goals of NAFTA?

 Who benefits the most from NAFTA?

 What are some of the main issues with NAFTA?

 Is the USMCA a better version of NAFTA? Explain your answer.

Type: essay/short answer question

Title: Chapter 10 Question 13

13) Examine the impact of the Southern Common Market (Mercosur) in Latin America.

Feedback: Why was Mercosur formed?

 What are some of the successes of Mercosur?

 What are some of the challenges faced by Mercosur?

Type: essay/short answer question

Title: Chapter 10 Question 14

14) Examine the impact of the Asia-Pacific Economic Cooperation (APEC).

Feedback: Why was APEC formed?

 What are some of the successes of APEC?

 What are some of the challenges faced by APEC?

Type: essay/short answer question

Title: Chapter 10 Question 15

15) Why did the U.S. withdraw from the Trans-Pacific Partnership (TPP)?

Feedback: What is the TPP?

 What are the main goals of the TPP?

 Identify the reasons for the U.S.’ withdrawal from the TPP.

Type: essay/short answer question

Title: Chapter 10 Question 01

1) In this chapter, we looked at economic interdependence. As indicated by former President Obama, “The biggest headwind the American economy [can face] … is uncertainty about Europe, because it affects global markets…” Write an essay discussing the concerns of President Obama.

Feedback: What is economic interdependence?

 What is the current economic situation in Europe?

 How is the American economy tied to Europe’s?

 What is the current state of the Brexit decision of 2016?

 What are some of the pros and cons of such economic interdependence?

Type: essay/short answer question

Title: Chapter 10 Question 02

2) A major part of President Trump’s economic policy is in line with the notion of America First. Write an essay examining such economic policies.

Feedback: What does an America First economic policy looks like?

 Examine some of the consequences of America First economic policies.

 Examine the impacts of protectionist policies.

 What are some of the tensions between the U.S. and its allies?

 What are various reactions among the U.S. electorates towards an America First economic policy?

Type: essay/short answer question

Title: Chapter 10 Question 03

3) Internationalism is a major theoretical and policy perspective that explains the interaction between politics and economics. Write an essay examining the various facets of internationalism as a theoretical and policy approach to the global political economy.

Feedback: What are the major tenants of internationalism?

 Discuss and give examples of comparative advantage.

 Evaluate capitalism as the origins of economic liberalism.

 What are some of the major institutions that favor internationalism?

 What are some of the major benefits and concerns of institutionalist policies?

Type: essay/short answer question

Title: Chapter 10 Question 04

4) Globalization has impacted trade, investment, and monetary affairs in many ways. Write an essay on the impact that globalization has on global economic systems.

Feedback: Examine the power of MNCs in global affairs.

 Is globalization increasing wealth evenly?

 What are some of the major benefits of globalization on trade, investments, and monetary affairs?

 In what ways are ordinary citizens impacted by a more globalized and integrated economic system?

 What are some of the major IGOs that help facilitate a more global economic system?

Type: essay/short answer question

Title: Chapter 10 Question 05

5) In recent years economic development in the South (e.g., China and India) has created much competition for countries in the Global North. As this continues, it is reshaping the power relations among countries in the Global North and Global South. Write a 300-word essay evaluating the growing economic power of China and India in global politics.

Feedback: What are some ways in which China and India are impacting the global economic structures?

 Discuss how China and India are improving their manufacturing and service sectors to compete with the Global North.

 Why are companies in the Global North outsourcing?

 How are governments in the Global North reacting to China and India?

 Examine the interdependence of the Chinese economy to that of the U.S. and the EU.