The person credited with Chinese reforms
a. Deng
b. Mao
c. Zhou
d. Chaing
e. Miller
In the Wintrobe model of dictatorship:
a. the dictator substitutes capital for repression
b. power is created by capital and labor
c. the dictator is a stationary bandit
d. the dictator combines loyalty and capital
e. the dictator produces power by combining repression and loyalty
If statistical analysis does not show clusters of characteristics
a. We can divide the world into economic systems
b. factors other than the economic system affect outcomes
c. growth cannot be measured accurately
d. we can study institutional economics but not comparative economic systems
e. None of the above
China collectivized its agriculture during the Cultural Revolution.
a. True
b. False
The presumed objective of the U.S. corporation is to maximize
a. Stakeholder value
b. Shareholder value
c. Profits before taxes
d. The sum of shareholder and stakeholder value
e. None of the above
Asian companies tend to be:
a. financed by sales of shares
b. financed by direct investments of citizens
c. financed by loans and other form of debt
d. all of the above
e. none of the above
Simon’s man from mars would see primarily
a. the flow of international trade
b. capital hiring labor
c. markets failing
d. the flow of transactions within enterprises
e. all of the above
Leverage refers to:
a. an IPO
b. Secondary offering
c. the ratio of debt to equity
d. The derivatives market
e. All of the above
The invisible hand is a notion from:
a. Marx
b. Ricardo
c. Keynes
d. Mises
e. none of the above
According to Olsen, the dictator that promotes growth is the:
a. tinpot
b. roving bandit
c. the stationary bandit
d. all dictators are good for growth
e. non dictator is good for growth
Privatization in the Czech republic was
a. Loans for shares
b. The Brezhnev reform
c. Voucher privatization
d. Cash privatization
e.None of the above
Examples of Mises’ “Planned Chaos”
a. 1970s oil price & allocation regulation
b. the planned Soviet economy
c. the financial crisis of 2006
d. both a and b
e. all of the above
Which of the four countries has an opt-out and chose not the adopt euro yet:
a. Germany
b. Denmark
c. France
d. Austria
The reforms that were put in place in the Soviet Union after 1985 were called
a. The Lieberman proposals
b. The Kosygin reform
c. Organizational reform
d. Perestroika
e. None of the above
A philosophical influence on the European model was:
a. Buddhism
b. Adam smith.
c. Mercantilism
d. Confucianism
e.Ricardo
China’s income inequality as measured by the Gini coefficient
a. has about doubled since MaoÕs time
b. is greater than South Korea and Taiwan
c. is low because China is a socialist country
d. is less than that of Europe
e. a and b are correct
Kornai argued that transition from socialism to capitalism requires the creation of
democracy
a. True
b.False
The European Union crisis was caused by:
a. Too little state spending
b. The fact that all EU members are on the euro
c. industrial planning
d. excessive government spending by weak economies
e. all of the above
What lesson for Chinese economic reform?
a. Economic liberty comes before market institutions
b. Authoritarian regimes are good at initiating reforms
c. Deng placed economic reforms before political reforms
d. China has the one child-family policy.
e. All of the above
European countries (relative to the United States)
a. have a higher share of bank loans to GDP
b. have a higher market capitalization
c. have more IPOs
d. rely on insider trading
e. none of the above
Locke’s contract theory stated that:
a. People must meet their contractual obligations to other citizens
b. People must meet their contract obligations to the state
c. Illegal contracts can be disputed in courts
d. The state must meet its social contract with its citizens
e. All of the above
The following are features of the Asian model
a. high savings
b. low shares of government
c. large investments in human capital
d. a, b and c are correct
e. only a and c are correct
Germany Inc refers to:
a. the use of corporations to produce output
b. the close relationship between government and business
c. raising capital through stock markets
d. interlocking directorates and cross holdings
e. none of the above
What control tool did the Chinese government use to control population mobility?
a. Hukou
b. Armed police
c. Passport
d. Party Committee
Feature(s) of the market for corporate control:
a. hostile takeovers
b. highly rated bond financing
c. managerial capitalism
d. related party transactions
e. all of the above
A principle of Islamic economics is:
a. prohibition of charity
b. give charity only to the state
c. charge interest equal to risk
d. prohibition of interest
e. all of the above
The high cost of labor in the European labor market is partially caused by:
a. Substantial labor market regulation
b. high productivity
c. restrictions on hiring
d. a hire and fire policy
e. none of the above
Which of the following statements is true about Mercantilism?
a. A weak state is needed to regulate and control the economy.
b. Adam Smith was the intellectual founder of mercantilism.
c. Individual economic freedoms, property rights, and private contracts are more
important than the interests of the public.
d. There are no universal principles of economics.
e. none of the above.
The International Monetary Fund advised Russia to control inflation via an exchange
rate anchor.
a. True
b.False
Statistics show that China will soon overtake the United States in terms of per capita
GDP
a.True
b. False