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.

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE

Most modern democratic states practice representative democracy.

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE

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

• TRUE

• FALSE