Chapter 2 National Differences in Political, Economic, and Legal

The central message of collectivism is that individual economic and political freedoms are the ground rules on which a society should be based.

The communists believed that socialism could be achieved by democratic means and turned their backs on violent revolution and dictatorship.

Some believe the Cold War was simply about nuclear proliferation, but in many respects, it was a war between collectivism and individualism.

Most modern democratic states practice representative democracy.

Democracy is a form of government that prohibits opposing political parties.

In a totalitarian country, there are safeguards to protect an individual's right to freedom of expression, opinion, and organization.

The number of command economies has fallen dramatically since the demise of communism in the late 1980s.

The Republic of Elbow has a command economy, and as such, its objective is to encourage free and fair competition between private producers.

In mixed economies, governments tend to take into state ownership troubled firms whose continued operation is thought to be vital to national interests.

A nation's legal system is usually of very little interest to international business managers, because international businesses are headquartered in different countries.