Async Lesson # 25 Unit; 7.7, and 7.8 Topic que

Which of the following statements best explains a limitation of the political map shown in conveying economic information?

• In the context of currency, the borders between the member states are irrelevant.

• In the context of free trade, the borders between the member states are irrelevant.

• In terms of an international division of labor, there are no variations in wage rates across the borders of member states.

• In terms of consumer prices, there are no variations in price amounts across the borders of member states.

• In terms of manufacturing, there are no variations in production costs across the borders of member states.

Answer explanation

A core function of the European Union is as a free trade zone where there are no tariffs or duties paid to ship goods between member states. Because the European Union functions as a free trade zone, the borders shown on the map are irrelevant in the context of free trade.

The map shows the locations of world financial, banking, and investment centers. Which of the following best explains a limitation of the map’s representation of global economic patterns?

• The map does not show major population centers located in the Southern Hemisphere.

• The map does not show the locations of export processing zones in more developed countries.

• The map does not show the growth of investment in businesses in less developed countries.

• The map does not show growth poles that stimulate regional economic activity.

• The map does not show the environmental pollution associated with industrial cities.

Answer explanation

The growth of industry in less developed countries and investment in business in less developed countries are important elements of the current global economy. The map is limited in that it shows only one aspect of the global economic pattern.

The map shows medical technology growth poles in the United States. Which of the following statements best explains a limitation of the map in showing the geographic context of these growth poles?

• Each growth pole location is a small special economic zone occupying a few city blocks.

• Each growth pole location has an international division of labor where low-technology jobs are handled in less developed countries.

• The pattern of medical technology growth poles across the country indicates the transformation of post-Fordist production systems.

• Each growth pole location is supported by an international network of researchers and multinational corporate partners.

• The pattern of medical technology growth poles across the country indicates a dependence on just-in-time production systems.

Answer explanation

A single growth pole location may have a large staff of its own. However, medical research and the development of medical products may depend on a large network of research partners in foreign governments and universities, as well as corporate partners that are large multinational corporations.

Which of the following explains a significant obstacle to sustainable development in more developed countries?

• The reliance on fossil energy sources for electric generation and vehicle fuel has depleted resources globally and contributed to atmospheric pollution in cities.

• The reliance on renewable energy for local electric generation and home heating creates significant risks, as alternative energy storage is more expensive than using fossil fuels.

• High energy prices and low energy consumption have reduced the need for the development of additional sources of renewable energy for individual vehicles and homes.

• Low population growth in more developed countries has reduced the need for the development of additional sources of renewable energy for individual vehicles and homes.

• Increased economic productivity in less developed countries has moved investment funding away from the development of new sources of renewable energy for individual vehicles and homes.

Answer explanation

More developed countries rely heavily on nonrenewable fossil energy for electric generation and vehicle fuels. These countries' economies depend upon the use of fossil fuels, which creates a major obstacle to sustainable development.

The country of Costa Rica has protected 25 percent of its land in the form of national parks or other protected areas. Which of the following best explains the desired effect of Costa Rica's process of land preservation?

• Costa Rica's national parks and preserved areas are intended to promote international ecotourism and support the country's sustainable local economic development.

• Costa Rica's national parks and preserved areas are designed to attract multinational corporations, providing Costa Rica with economic sustaiability.

• Costa Rica preserved these areas to meet the requirements to join the Central American Common Market, which funds environmental sustainability initiatives in member countries.

• Costa Rica preserved these areas to establish special economic zones for the exportation of manufactured products to the United States.

• Costa Rica is predominately an agricultural nation and preserved these areas for the future expansion of global agricultural commodity chains.

Answer explanation

Costa Rica has decided to ensure the environmental sustainability of its country through the promotion of ecotourism. Ecotourism brings in billions of dollars in revenue on an annual basis.

Which of the following explains a negative effect that can occur in countries that depend on ecotourism as a pathway to sustainable economic development?

• A well-developed ecotourism industry can limit the amount of foreign currency entering a country’s economy, reducing funds available for local infrastructure projects.

• The development of an ecotourism industry can result in a decrease in the number of tourist visits to a country because of limitations on tourist visas.

• Fees generated by ecotourists can contribute to income inequality in less developed countries.

• The development of an ecotourism industry can reduce income opportunities for local workers by converting farms to parks.

• The development of ecotourism can attract multinational tourism corporations that take their earnings out of the country while attracting tourists who impact the local environment.

Answer explanation

The popularity of ecotourism can have a negative impact on sustainable development if its success attracts multinational tourism-based corporations that run package tours or resorts that impact local ecosystems and then take the profits from ecotourism out of the country to corporate headquarters or foreign banks.