Question 1

In comparison to market economies,command economies lack:

Accepted Answer

A)   government interference in allocation of resources.
B)   dynamism and innovation.
C)   concern for the interests of the nation.
D)   commitment to communism.
E)   any opposition to private ownership.F) A) and D)
G) D) and E)

Question 2

The Republic Of Marwa has decided to open its economy to globalization.Which of the following will facilitate this decision of Marwa?

Accepted Answer

A)   A strong commitment to communism
B)   A strong presence of private action in the nation
C)   Adopting the Contracts For the International Sale of Goods (CIGS) 
D)   Creating a national environment that promotes public action
E)   Breaking the rule of lawF) A) and D)
G) B) and C)

Question 3

States that limit the freedom of religious expression with laws based on religious principles,most likely follow the political system of:

Accepted Answer

A)   theocratic totalitarianism.
B)   communist totalitarianism.
C)   right-wing totalitarianism.
D)   pure democracy.
E)   representative democracy.F) C) and D)
G) B) and E)

Question 4

Political systems that emphasize collectivism tend to be democratic,while political systems that place a high value on individualism tend to be totalitarian.

Accepted Answer

A) True 
 B)False

Question 5

_____ laws hold a firm and its officers responsible when a product causes injury,death,or damage.

Accepted Answer

A)   Product equity
B)   Product failure
C)   Product liability
D)   Product parity
E)   Product testingF) All of the above
G) None of the above

Question 6

In the 1970s,the United States passed the _____ following revelations that U.S.companies had bribed government officials in foreign countries in an attempt to win lucrative contracts.

Accepted Answer

A)   International Sale of Goods Act
B)   Foreign Exchange Management Act
C)   Foreign Corrupt Practices Act
D)   Sarbanes-Oxley Act
E)   Foreign Investment in Real Property Tax ActF) A) and E)
G) None of the above

Question 7

Private action to violate property rights occurs when public officials,such as politicians and government bureaucrats,extort income,resources,or the property itself from property holders.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following terms refers to a political system in which government is by the people,exercised either directly or through elected representatives?

Accepted Answer

A)   Despotism
B)   Democracy
C)   Totalitarianism
D)   Theocracy
E)   CommunismF) None of the above
G) C) and E)

Question 9

Grease payments are technically _____.

Accepted Answer

A)   tax payments
B)   bribes
C)   company assets
D)   penalties
E)   selling costsF) A) and C)
G) None of the above

Question 10

Discuss why supply must not be restricted for a pure market economy to function.

Accepted Answer

In a pure market economy,supply must not...

Question 11

Who among the following can claim product liability from the offender?

Accepted Answer

A)   Jason wants to sue a multinational company for mass manufacturing one of his inventions without purchasing the rights.
B)   Rebecca's patented jewelry designs have been imitated and sold at a low price under her brand name.
C)   The airbags in Brian's car, manufactured by Zigwheels Inc, failed to inflate when his car met with an accident. This injured Brian and damaged the car.
D)   Fred has accused his employer of forcing him and his teammates to work in an unsafe environment.
E)   Samantha claims that her neighbor has stolen valuable ancestral antiques from her house.F) B) and C)
G) B) and D)

Question 12

When _____ is emphasized,the needs of society as a whole are generally viewed as being more important than individual freedoms.

Accepted Answer

A)   democracy
B)   collectivism
C)   individualism
D)   capitalism
E)   privatizationF) A) and E)
G) None of the above

Question 13

In a totalitarian country,all the constitutional guarantees on which representative democracies are built-an individual's right to freedom of expression and organization,a free media,and regular elections-are denied to the citizens.

Accepted Answer

A) True 
 B)False

Question 14

Briefly discuss product safety and liability laws.

Accepted Answer

Product safety laws set certain safety s...

Question 15

When firms do not wish to accept the rules of the CIGS,they often opt for _____ to settle contract disputes.

Accepted Answer

A)   UN involvement
B)   arbitration
C)   collective bargaining
D)   the common law system of the U.S.
E)   Islamic lawF) A) and B)
G) A) and C)

Question 16

How does a common law system differ from a civil law system?

Accepted Answer

A common law system has a degree of flex...

Question 17

As per the U.S.law and OECD convention,which of the following will most likely to be considered as a grease payment?

Accepted Answer

A)   Gold Fire Inc. paid a fine of $2500 for violating the labor laws in a foreign country.
B)   Gold Fire Inc. made a small payment of $20 to speed up some paper work related to tax returns in a less developed country.
C)   The proprietor of Gold Fire Inc. made payments to the Mafia as a protection against violent retribution.
D)   Gold Fire Inc. gave gift vouchers to all its product wholesalers in order to promote the product.
E)   Gold Fire. Inc made an unrecorded payment to one of its accountants in return for window dressing the company's accounts.F) None of the above
G) A) and C)

Question 18

Which of the following systems is a part of the political economy?

Accepted Answer

A)   Religious system
B)   Value system
C)   Demographic system
D)   Legal system
E)   Technological systemF) A) and B)
G) B) and E)

Question 19

When state officials,such as politicians and government bureaucrats,violate property rights by extorting income,resources,or the property itself from property holders,it is described as:

Accepted Answer

A)   patents violation.
B)   public action.
C)   public servitude.
D)   private action.
E)   private governance.F) A) and D)
G) A) and C)

Question 20

By the mid-1990s,communism was rising worldwide.

Accepted Answer

A) True 
 B)False

Exam 2: National Differences in Political Economy

How does a common law system differ from a civil law system?

Correct AnswerverifiedA common law system has a degree of flex...View AnswerShow Answer

The Republic Of Marwa has decided to open its economy to globalization.Which of the following will facilitate this decision of Marwa?

Correct AnswerverifiedShow Answer

Discuss why supply must not be restricted for a pure market economy to function.

Correct AnswerverifiedIn a pure market economy,supply must not...View AnswerShow Answer

In the 1970s,the United States passed the _____ following revelations that U.S.companies had bribed government officials in foreign countries in an attempt to win lucrative contracts.

Correct AnswerverifiedShow Answer

When state officials,such as politicians and government bureaucrats,violate property rights by extorting income,resources,or the property itself from property holders,it is described as:

Correct AnswerverifiedShow Answer

In comparison to market economies,command economies lack:

Correct AnswerverifiedShow Answer

By the mid-1990s,communism was rising worldwide.

Correct AnswerverifiedShow Answer

In a totalitarian country,all the constitutional guarantees on which representative democracies are built-an individual's right to freedom of expression and organization,a free media,and regular elections-are denied to the citizens.

Correct AnswerverifiedShow Answer

When firms do not wish to accept the rules of the CIGS,they often opt for _____ to settle contract disputes.

Correct AnswerverifiedShow Answer

Private action to violate property rights occurs when public officials,such as politicians and government bureaucrats,extort income,resources,or the property itself from property holders.

Correct AnswerverifiedShow Answer

As per the U.S.law and OECD convention,which of the following will most likely to be considered as a grease payment?

Correct AnswerverifiedShow Answer

Who among the following can claim product liability from the offender?

Correct AnswerverifiedShow Answer

Which of the following systems is a part of the political economy?

Correct AnswerverifiedShow Answer

Which of the following terms refers to a political system in which government is by the people,exercised either directly or through elected representatives?

Correct AnswerverifiedShow Answer

Briefly discuss product safety and liability laws.

Correct AnswerverifiedProduct safety laws set certain safety s...View AnswerShow Answer

Political systems that emphasize collectivism tend to be democratic,while political systems that place a high value on individualism tend to be totalitarian.

Correct AnswerverifiedShow Answer

States that limit the freedom of religious expression with laws based on religious principles,most likely follow the political system of:

Correct AnswerverifiedShow Answer

Grease payments are technically _____.

Correct AnswerverifiedShow Answer

_____ laws hold a firm and its officers responsible when a product causes injury,death,or damage.

Correct AnswerverifiedShow Answer

When _____ is emphasized,the needs of society as a whole are generally viewed as being more important than individual freedoms.

Correct AnswerverifiedShow Answer

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A common law system has a degree of flex...
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In a pure market economy,supply must not...
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Product safety laws set certain safety s...
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