Economic Globalization Quiz

What is economic globalization?

• The integration of countries in the global economy

• The tax on imports or exports between sovereign states

• The mobility of people, capital, technology, goods, and services internationally

• The interdependence of different countries

What is a tariff?

• The integration of countries in the global economy

• The tax on imports or exports between sovereign states

• The mobility of people, capital, technology, goods, and services internationally

• The interdependence of different countries

Which of the following has contributed to the growth of economic globalization?

• Improvements in the efficiency of long-distance transportation

• Advances in telecommunications

• Importance of physical capital in the modern economy

• Developments in science and technology

What is the purpose of the GATT and WTO?

• To reduce or eliminate trade barriers such as tariffs or quotas

• To regulate international trade between nations

• To promote global market competition

• To stimulate technological innovation

What is a positive effect of economic globalization?

• Fluctuation in prices

• Job insecurity

• Technological innovation

• Interdependence between nations

How does globalization impact job opportunities in developed countries?

• It creates more job opportunities

• It leads to job insecurity

• It reduces job competition

• It promotes national sovereignty

What is a negative effect of economies of scale in globalization?

• It reduces cost and prices

• It hurts small businesses attempting to compete domestically

• It leads to interdependence between nations

• It causes fluctuation in prices

What is a potential consequence of interdependence in globalization?

• Regional or global instabilities

• National sovereignty

• Equity distribution

• Technological innovation

What is a potential consequence of nationalistic or xenophobic leaders in globalization?

• Fluctuation in prices

• Job insecurity

• Interdependence between nations

• Conflict both nationally and internationally

What is a potential consequence of unfair distribution of globalization benefits?

• Fluctuation in prices

• Job insecurity

• Interdependence between nations

• Greater inequalities and conflicts