Globalization - CPA Business Environment and Concepts (BEC)

Card 0 of 6

Question

Globalization is often measured using the following metric:

Answer

Globalization represents the increased dispersion and integration of the world's economies. It is often measured as the growth in world trade as a percentage of GDP.

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Question

Each of the following is an effect from opening markets to foreign investment except:

Answer

Under this circumstance, investment growth rates will likely increase rather than decrease as there are more opportunities for investment and growth.

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Question

Increased globalization is made possible by each of the listed factors except:

Answer

The IMF does not regulate currency values. Its activities are designed to stabilize exchange rates but it is not empowered to regulate currency values.

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Question

All of the following nations are considered emerging nations except:

Answer

The only other emerging nation not listed here is India.

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Question

The concept of a global economic balance of power anticipates:

Answer

The concept of balance of power anticipates that no one nation will dominate or interfere with the activities of others.

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Question

Which of the following is not a factor that drives globalization?

Answer

Stronger currencies have no impact on globalization, as currencies fluctuate all the time. These other factors would much more likely to facilitate international trade and global markets.

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