Quiz on Globalization and Economic Structures

What does the global economy denote?

• The dominance of local markets

• The decline of international trade

• The interconnectedness of economic activities worldwide

• The isolation of national economies

Which of the following is NOT a characteristic of the global economy?

• International finance

• Globalization

• International trade

• Local production

What is protectionism?

• A form of free trade

• A method of global investment

• A policy encouraging foreign trade

• A policy of government intervention in foreign trade

Which actor is NOT involved in economic globalization?

• Labor

• Local farmers

• Transnational corporations

• Consumers

What does modernization theory suggest?

• Colonialism is the main cause of poverty

• Technological advancements are irrelevant

• Economic growth is hindered by cultural beliefs

• Wealthy countries exploit poor nations

Which theory blames colonialism for the poverty of nations?

• Neocolonialism theory

• World Systems theory

• Dependency theory

• Modernization theory

What is the 'take off stage' in Rostow's model?

• A stage of traditional societies

• A stage of industrial development

• A stage of high mass consumption

• A stage where new markets are formed

Which of the following is a feature of international finance?

• Exchange of goods

• Government subsidies

• Local market transactions

• Currency and exchange rates

What is the main focus of fair trade?

• Maximizing profits for corporations

• Ensuring social and environmental welfare

• Encouraging free trade

• Promoting protectionism

Which of the following is NOT a stage in Rostow's model?

• Traditional stage

• Take off stage

• High mass consumption

• Technological stagnation