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Globalization Quiz

Total questions: 55

Worksheet time: 32mins

Name
Class
Date
1.

Write the word correctly - G L _ B _ _ I_ _T _ N

(a)  

2.

The growing interdependence of the world’s economies, cultures, and populations, brought about by cross-border trade in goods and services, technology, and flows of investment, people, and information is the...

a)

Multiculturalism

b)

International Trade

c)

Globalization

d)

Ecommerce

3.

The comparative advantage encouraged by the globalization, brings these effects to the society:

a)

Promotes economic growth

b)

Lowers prices of goods and services

c)

Makes production more efficient

d)

All of the above

4.

This benefit tends to increase at a much greater rate than the growth in world trade, helping boost technology transfer, industrial restructuring, and the growth of global companies.​

a)

Economies of scale

b)

Foreign Direct Investment

c)

Technological Innovation

5.

Globalization enables large companies to realize economies of scale that reduce costs and prices, which in turn supports further economic growth, although this can hurt many small businesses attempting to compete domestically.​

a)

Economies of scale

b)

Technological Innovation

c)

Foreign Direct Investment

6.

Are there pro's and con's or does every run perfectly?

a)

Only pro's

b)

Only con's

c)

Both

d)

BothGlobalization doesn't exist

7.

What are some negatives of globalization?

a)

Workers are exploited in sweatshops

b)

Pollution and deforestation

c)

Low wages for factory workers in Asia and Africa

d)

All of the answers are correct

8.

Who typically ends up paying tariffs?

a)

Importers and/or consumers

b)

The International Monetary Fund

c)

Congress

d)

Exporters

9.

When the economy of two countries depend on each other, it's called:

a)

economic interdependence

b)

multinational cooperation

c)

isolationism

d)

outsourcing

10.

Which of the following was instrumental in creating the global economy that exists today?

a)

The use of high taxes for imports and exports

b)

Improvements in technology such as the Internet

c)

The creation of one form of currency (money) used to trade

d)

The success of the Communist governments in guiding trade

11.

When people trade how do both sides benefit?

a)

Countries can focus on producing specific goods from their natural resources instead of trying to create everything they need

b)

Countries can take advantage of each other making the international market more secure

c)

Countries are able to learn the weaknesses of other countries and exploit those for natural resources

d)

Countries are able to enter other countries with spies and foreign agents to undermine governments.

12.
When determining comparative advantage one must determine 
a)
Opportunity cost
b)
Specialization
c)
Absolute Advantage
d)
Embargos 
13.
If I am better at all types of production, I have the ______ in all forms of production.
a)
Comparative advantage
b)
Specialization
c)
Absolute advantage
d)
developed nation
14.
This is a tax on imports that is used to increase price of foreign products and raise government revenue. 
a)
tariff
b)
quota
c)
subsidy
d)
embargo
15.

Underdeveloped nations tend to trade what type of goods?

a)

Low skill products

b)

High tech goods

c)

finished products

d)

High skill products

16.

Alice likes to buy corn in bulk from Tom. She stores it in her warehouse before selling it to her customers. She is considered a

a)

wholesaler

b)

retailer

17.

Tom grows corn to sell at the local market. He is considered a

a)

Producer

b)

Wholesaler

18.

FDI stands for

a)

federal direct investment

b)

federal domestic investment

c)

foreign direct investment

d)

foreign denominated investment

19.

One of the biggest concerns about globalization has been

a)

loss of manufacturing jobs in developed countries

b)

increasing diversity in society

c)

rise of inexpensive goods in global trade

d)

decreasing power of MNCs

20.

One country in particular that has experienced enormous resistance to globalization has been

a)

Thailand

b)

Switzerland

c)

Saudi Arabia

d)

France

21.

There is disagreement as to the role that supranational organizations such as ____________ and _______________ can play to protect interests of nation states.

a)

League of Nations, EU

b)

NAFTA, MERCOSUR

c)

WTO, UN

d)

World Bank, MNCs

22.
A large company that has operations in more than one country.
a)
Domestic Corporation
b)
Multinational Corporation
c)
Foreign Corporation
d)
State Corporation
23.

Products meant to satisfy the wants and needs of buyers.

a)

Goods

b)

Trade

c)

Commodity

d)

Outsourcing

24.

According to CNN, the United States receives 80% of its avocados from Mexico. Mexico receives most of its auto parts from the United States. This is an example of the following.

a)

Interdependence

b)

Supply and demand

c)

Infrastructure

d)

Globalization

25.

Bringing goods in from another country to sell.

a)

import

b)

export

26.

A policy in which a nation does not try to limit imports or exports by enacting tariffs (taxes on imports) or subsidies (taxes on exports).

a)

Free Trade

b)

Trade

c)

Goods

d)

Supply and Demand

27.

The development of a worldwide economy where resources flow fairly freely across borders.

a)

Globalization

b)

Economy

c)

GDP

d)

Economic Independence

28.

What are some negatives of globalization?

a)

Workers are exploited in sweatshops

b)

Pollution and deforestation

c)

Low wages for factory workers in Asia and Africa

d)

All of the answers are correct

29.

A period of temporary economic decline during which trade and industrial activity are reduced.

a)

World Bank

b)

Recession

c)

Embargo

d)

Pandemic

30.

Fill in the blanks:


A Multinational Company is one that operates over __________ or more countries.

a)

5

b)

12

c)

9

d)

2

31.

Which one of these companies is NOT a multinational ?

a)

McDonalds

b)

Subway

c)

Tesco

d)

Walmart (Asda)

32.

Globalisation is a method of Business Growth

a)

True

b)

False

33.

How do multinational corporations impact the global economy?

a)

By limiting opportunities for expansion in multiple countries

b)

By increasing competition in international markets

c)

By reducing profit margins in home market

d)

By expanding operations and increasing international trade

34.

What are the potential drawbacks of globalization for businesses?

a)

Increased opportunities for selling in foreign markets

b)

Higher profit margins in home market

c)

Decreased competition

d)

Setting up production operations in other countries

35.

What are the potential benefits of international trade for businesses?

a)

Decreased competition in home market

b)

Higher profit margins in home market

c)

Increased opportunities for selling in foreign markets

d)

Setting up production operations in other countries

36.

How do global localization strategies impact the marketing costs of businesses?

a)

Limited opportunities for selling in foreign markets

b)

Higher profit margins in home market

c)

Increased competition

d)

Adapting to local market conditions and reducing marketing costs

37.

What role do multinational corporations play in the global economy?

a)

By limiting opportunities for expansion in multiple countries

b)

By increasing competition in international markets

c)

By reducing profit margins in home market

d)

By expanding operations and increasing international trade

38.

How has globalization affected international trade?

a)
Globalization has decreased international trade by increasing barriers and reducing interconnectedness.
b)
Globalization has had no impact on international trade.
c)
Globalization has increased international trade by reducing barriers and increasing interconnectedness.
d)
Globalization has led to the collapse of international trade.
39.

What is a potential consequence of globalization on cultural diversity?

a)
Decrease in economic diversity
b)
No impact on cultural diversity
c)
Loss of cultural diversity
d)
Increase in cultural diversity
40.

What is a common feature of multinational corporations in the era of globalization?

a)
Limited product range and services
b)

Emergences of E-commerce

c)
Local presence and operations in a single country
d)
Isolation from global markets
41.

What is a potential disadvantage of exporting goods for businesses?

a)

Currency issues

b)

Economies of scale

c)

Access to wider markets

d)

Spreading of technical knowledge

42.

What is a potential advantage of exporting goods for businesses?

a)

Supply chain issues

b)

Different customs and laws

c)

Language barriers

d)

Increased sales and profits

43.

What is one effect of globalisation on the labour market?

a)

Decreased demand for multilingual employees

b)

Increased outsourcing of jobs

c)

Reduced cultural diversity in the workplace

d)

Lower levels of international collaboration

44.

Which of the following is a key driver of globalization?

a)

Trade barriers

b)

Advancements in communication and technology

c)

Reduced international cooperation

d)

Strict government regulations on trade

45.

What is a multinational corporation (MNC)?

a)

A business that operates in only one country

b)

A business that operates in multiple countries

c)

A government-run business

d)

A small, local business

46.

Which of the following is NOT a benefit of globalization?

a)

Access to a larger customer base

b)

Lower production costs in certain regions

c)

Increased cultural diversity

d)

Higher trade barriers

47.

How does globalization impact competition?

a)

It reduces competition by limiting market access

b)

It increases competition by opening markets globally

c)

It eliminates the need for competitive strategies

d)

It only affects competition in developing countries

48.

What is an example of foreign direct investment (FDI)?

a)

A local company exporting its products overseas

b)

A multinational company opening a factory in another country

c)

A government imposing tariffs on imports

d)

A consumer purchasing foreign goods

49.

Which of the following is a challenge of globalization?

a)

Increased local business monopolies

b)

Reduced opportunities for international collaboration

c)

Environmental concerns due to increased production and trade

d)

Decreased access to skilled labor

50.

What is a trade bloc?

a)

A group of countries that have agreed to reduce or eliminate trade barriers among themselves

b)

A single country that controls all international trade

c)

A global organization focused on reducing cultural exchange

d)

A measure to block international imports

51.

Which of the following best describes 'protectionism'?

a)

Encouraging free trade policies

b)

Imposing tariffs and quotas to protect domestic industries

c)

Increasing foreign investment in a country

d)

Removing all trade barriers

52.

What is the impact of globalization on developing countries?

a)

It guarantees economic equality across all regions

b)

It often provides access to new markets and investment but can also increase exploitation

c)

It reduces opportunities for industrial growth

d)

It eliminates cultural exchanges with other nations

53.

What are the benefits of FDI to host countries?

a)

Repatriated earnings from profits from FDI

b)

Learning via FDI from operations abroad

c)

Increased exports of components and services to host countries

d)

Access to management expertise, skills and technology

54.

Which of the following would be considered an international business transaction?

a)

purchasing products in one country and assembling them in the same country

b)

recruiting employees internationally

c)

borrowing money from a major bank to finance capital improvements

d)

shipping finished products from one country to another for retail sale

55.

Which of the following is NOT mentioned as a factor that traveled the threads of globalization?

a)

Natural disasters

b)

Diseases

c)

Ideas

d)

Material goods