Chapter 13 - Lesson 3 and 4 Quiz

U.S. corporations dominate the American economic system and influence economies of nations throughout the world.

• True

• False

A corporation is an organization owned by people who have unlimited control over the corporation’s business.

• True

• False

Those who defend multinationals state that these corporations provide developing countries with technology.

• True

• False

Conglomerates are networks of related businesses operating under multiple corporate umbrellas.

• True

• False

Major corporate offi cials generally have little infl uence over government decisions

• True

• False

Which is an example of an interlocking directorate? The head of corporation A

• files court papers to separate business from the head of Corporation B.

• and the head of Corporation B sit on one another’s corporate boards.

A corporation is owned by

• its shareholders.

• local interest groups

It is difficult for less economically developed nations to establish new companies that can compete with multinationals because

• the less economically developed nations lack the motivation of multinationals.

• multinationals dominate the industries in less economically developed nations.

contingent employment is ________

• category of jobs that involves similar activities at different work locations

• the hiring of part-time, short-term workers

peripheral tier is ____________

• part of the job structure composed of smaller, less-profitable firms

• process by which a company reduce its workforce