76) What country is a member of the free trade agreement DR-CAFTA?
A) Bahrain
B) Bhutan
C) Morocco
D) Costa Rica
E) Oman
77) Which is the comprehensive free trade agreement among Costa Rica, the Dominican
Republic, El Salvador, Guatemala, Honduras, Nicaragua, and the United States that includes a
wide array of tariff reductions aimed at increasing trade and employment?
A) DR-CAFTA
B) NAFTA
C) CFTA
D) SAARC
E) Mercosur
78) The success of the Caribbean Free Trade Association led to the creation of the
A) Central American Integration System.
B) Community of Latin American and Caribbean States.
C) Caribbean Community and Common Market.
D) Union of South American Nations.
E) United Nations Economic Commission for Latin America and the Caribbean.
79) CARICOM established the CSME (CARICOM Single Market and Economy) with the major
goal of
A) establishing central institutions similar to those of the European Union institutions.
B) forming a political union.
C) implementing a common currency for all member nations.
D) increasing nontariff barriers.
E) implementing uniform customs procedures.
80) In the context of a political and economic revolution that has been taking place in Latin
America, state ownership has resulted in
A) inclusion of foreign and domestic private ownership.
B) efficient state treasuries.
C) efficient public companies.
D) predictable regulatory environments.
E) inefficient public companies.
81) What country is a member of the Latin American Integration Association (LAIA, aka
ALADI)?
A) Bahamas
B) Cuba
C) Nicaragua
D) Costa Rica
E) Honduras
82) Haiti is a member of
A) CARICOM.
B) NAFTA.
C) CFTA.
D) LAIA.
E) Mercosur.
83) What is the largest common-market agreement in the Americas?
A) CFTA
B) NAFTA
C) Mercosur
D) DR-CAFTA
E) SAFTA
84) What is the second-largest common-market agreement in the Americas, after NAFTA?
A) CFTA
B) TPP
C) Mercosur
D) DR-CAFTA
E) SAFTA
85) Which of the following treaties provided the legal basis for Mercosur?
A) Treaty of Verdun
B) Treaty of Asunción
C) Treaty of Westphalia
D) Treaty of Versailles
E) Treaty of Montevideo
86) What accounts for the lion’s share of Mercosur exports to Europe?
A) clothing and apparel
B) telecommunication equipment
C) consumer durables
D) petroleum and minerals
E) agricultural and agro-industrial products
87) What is true of state ownership in Latin America?
A) Privatization of state-owned enterprises blocked the release of immediate capital to invest in
strategic areas.
B) State ownership is the most ideal engine for economic growth.
C) Privatization of state-owned enterprises continually drained the future national resources.
D) State ownership has resulted in complicated and unpredictable regulatory environments.
E) State ownership has consistently resulted in the inclusion of foreign and domestic private
ownership, and the formation of efficient public companies.
88) The long-term goal of the LAIA (Latin American Integration Association), better known by
its Spanish acronym, ALADI, is to
A) improve the literacy levels in member countries.
B) reduce the child mortality rates in member countries.
C) establish a Latin American common market.
D) establish a common currency for all its member countries.
E) standardize the industrial production in the member countries.
89) One way that LAIA differs from LAFTA, its predecessor, is
A) the differential treatment of member countries according to their level of economic
development.
B) the inclusion of rules of origin.
C) the exclusion of tariff barrier.
D) the members are forbidden from establishing bilateral trade agreements among member
countries.
E) the introduction of a common currency for the member countries.
90) More household money goes for ________ in emerging markets than in developed markets.
A) housing
B) durable goods
C) food
D) leisure
E) education
91) Explain the importance of time zones for trade relationships and marketing operations. What
are the three multinational market regions that comprise major trading blocs?
92) Describe the political and economic changes affecting developing countries, including
foreign investment, transition from socialist to market-driven economies, and trade policies.
93) Explain the concept of economic development.
94) Describe the three categories used by the United Nations to classify a country’s stage of
economic development on the basis of its level of industrialization.
95) List and briefly describe five of the nine factors that existed during the economic growth of
newly industrialized countries (NICs).
96) Explain how the Internet impacts economic development in emerging economies.
97) Describe the origin and purpose of Mercosur and its role in improving trade associations
among American nations.
98) Why was Caribbean Community and Common Market (CARICOM) created? What are its
goals?