Global Political Economy: Theory and Practice 7th Edition

2 Chapter 1 Introduction Multiple Choice 1) Theorists who define globalization primarily as an economic phenomenon with little effect on the primacy of states are a) moderate globalists. b) hyperglobalists. c) internationalists. d) liberal economists. 2) Theorists who emphasize the fact that internationa - a) historical materialists. b) liberals. c)

68 Chapter 10 Multinational Corporations and Global Production Multiple-Choice 1) Firms engage in vertical integration a) to internalize different stages of the production process within the firm. b) to get behind trade barriers of other countries. c) to compete more effectively with local firms through their subsidiaries. d) to defend

76 Chapter 11 International Development Multiple-Choice 1) A country that recently reached the goal of giving ODA amounting to 0.7 percent of its GNI is a) Germany. b) the United States. c) Finland. d) the United Kingdom. 2) The strongest supporters of IMF and World Bank structural adjustment programs were

84 Chapter 12 Current Trends in the Global Political Economy Multiple-Choice 1) The theorists who are most skeptical that globalization has increased are a) historical materialists. b) neomercantilists. c) interventionist liberals. d) orthodox liberals. 2) The civil society organizations most committed to embedded liberalism are a) rejectionist. b) conformist. c)

5 Chapter 2 Managing the Global Economy since World War II: The Institutional Framework Multiple-Choice 1) States in the mercantilist period a) increased their technology exports. b) emphasized industrialization as a means of gaining wealth. c) helped establish territorial unification and state authority. d) viewed free trade as serving

12 Chapter 3 Neomercantilism Multiple-Choice 1) Neomercantilists a) give priority to politics over economics. b) give priority to economics over politics. c) view IPE as a variable sum game. d) view the state as existing on fairly equal footing with several important actors in IPE. 2) All rational choice theorists

20 Chapter 4 Liberalism Multiple Choice 1) Adam Smith a) supported laissez-faire policies that opposed any government intervention. b) is closely associated with the theory of absolute advantage c) believed that states should institute free trade policies unilaterally if necessary to permit the market to operate. d) is closely associated

28 Chapter 5 Critical Perspectives Multiple-Choice 1) Marx wrote that a) capitalism was a dynamic, expansive system with a mission to spread development around the world. b) technological advances resulted from natural human drives for economic progress. c) capitalism was hindering progress in such countries as India and China. d)

36 Chapter 6 International Monetary Relations Multiple-Choice 1) The U.S. balance of payments deficit in the 1950s and 1960s resulted largely from a) the growing U.S. services trade deficit. b) the growing U.S. current account deficit. c) the growing U.S. financial account deficit. d) the growing U.S. merchandise trade deficit.

Chapter 7 Financial Crises Multiple-Choice 1) A major difference between the 1980s foreign debt crisis and the European debt crisis is: a) Banks were seriously affected in the 1980s crisis, but they were less affected in the European crisis. b) Sovereign debt was more of a cause of the 1980s

52 Chapter 8 Global Trade Relations Multiple-Choice 1) The Stolper-Samuelson theory builds on a) strategic trade theory. b) the theory of absolute advantage. c) the Heckscher-Ohlin theory. d) the theory of comparative advantage. informality was the fact that it a) did not make decisions that were binding on members. b)

60 Chapter 9 Regionalism and the Global Trade Regime Multiple-Choice 1) In some respects FTAs are more trade diverting than CUs because a) FTA members usually raise their tariffs when they form the FTA. b) FTAs are less unified than CUs, and this contributes to more trade diversion c) FTAs