Exam 2 - University of Houston INTB 3353: Economics of...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
University of Houston Spring 2008 INTB 3353: Economics of Globalization Professor Ruxandra Prodan Exam #2 Name:_________________________________________________________________ 1. Offshore Outsourcing is: a. relocation of an organizational function to a foreign country b. transfer of an organizational function to a third party c. transfer of an organizational function to a third party, when the party is located outside the country Answer: c 2. Ford’s research and development center in India is an example of: a. domestic outsourcing b. offshore outsourcing c. off-shoring d. insourcing Answer: c 3. Which of the following is the least likely to influence the natural rate of unemployment? a. proportion of long term unemployed b. labor unions c. payroll taxes d. unemployment insurance benefits e. monetary policy Answer: e 4. The Employment Protection Legislation (EPL): a. Reduces probability of unemployment (p) b. Reduces probability of finding a job (s) c. Increases the probability of finding a job(s) d. A and B e. A and C Answer: d
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
5. All of the followings are objections to outsourcing except : a. Outsourcing causes increased unemployment b. Outsourcing causes reduction in wages & benefits c. Outsourcing increases incentives for raising productivity d. Outsourcing provides private corporations with a means to escape government regulation e. Outsourcing provides private corporations with a means to escape taxation Answer: c 6 . Offshore outsourcing: a. is expected to increase domestic unemployment (primary effect) b. is expected to increase offshore employment c. might increase domestic employment (secondary effect, due to the impact on international trade) d. all of the above Answer: d 7. As suggested by the Aplia article “Winners and Losers from Trade”, who would benefit the most if the WTO was abolished and rich countries did not have to eliminate their barriers to trade in textiles? a. Textile workers in Pakistan b. Consumers in the United States c. Textile workers in the United States Answer c 8. As suggested by the “Bra Wars: The Quota Strikes Back” article, the main difference between import quotas and tariffs is that the first ones: a. restrict consumer choice b. increase prices. c. bolster producer profits d. excise revenues in importing countries Answer: c 9. The major US trading partners are: a. Canada, Mexico, Japan b. China, Mexico, UK c. Canada, Mexico, China d. Canada, Mexico, UK e. Canada, Mexico, France Answer: c
Background image of page 2
10. Where does the vast majority of the investment flow? a. Asian countries b. Latin American Countries c. Middle East countries d. OECD countries e. African countries Answer: d 11. Which of the following is not alleged to be a problem associated with free trade?
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 10

Exam 2 - University of Houston INTB 3353: Economics of...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online