Chapter 07 Exam

. International political economy (IPE) can be defined as

The study of how politics and economics interact in an international context.

The creation of the net GDP per person on a global scale.

The growing independence of states in a globalized world.

The examination of how individual companies make production decisions.

. What is the difference between the value of exports and imports?

The tariff potential.

The gross profit margin.

The balance of trade.

The net national product.

. Which of the following is NOT a mercantilist principle?

States should ensure that most products and services are produced domestically.

Imports of foreign goods should be limited.

It is necessary to support domestic manufacturers and merchants.

States should trade only if both benefit to an equal amount.

. Mercantilism is MOST often associated with

Liberalism.

Conflict theories.

Realism.

Feminism.

. Protectionism is

The strategy of encouraging neighboring countries to provide a defensive alliance at low cost.

The belief that as long as military spending is kept high, a country is safe from foreign threats.

The policy of restricting or discouraging imports and encouraging domestic production.

The method of ensuring that major leaders are safe from assassination threats.

. Which of the following is NOT a protectionist measure?

Economic sanctions.

Duty-free imports.

Tariffs.

Import quotas.

. Which approach to IPE sees the MOST positive role for free trade?

Mercantilism.

Liberalism.

Constructivism.

Conflict theory.

. _____ believe that the Marshall Plan promoted beliefs in free markets in Europe.

Constructivists.

Realists.

Dependency theorists.

Environmentalists.

. Which approach to IPE focuses on the role of social identities and norms?

Mercantilism.

Liberalism.

Constructivism.

Conflict theory.

. Places perceived as _____, as a rule, ____ international investors.

Unstable . . . bring.

Favorable . . . attract.

Precarious . . . maintain.

Volatile . . . lure.

. 7.4 Describe constructivism in the context of international economic policies.

Mercantilism.

Liberalism.

Constructivism.

Conflict theory.

. __________ is strongly associated with promoting free trade, whereas ____________ looks at how free trade can lead to economic inequality.

Constructivism; conflict theory.

Conflict theory; mercantilism.

Mercantilism; liberalism.

Liberalism; conflict theory.

. Which of the following countries exemplified the failure of Marxist economic policies?

Great Britain.

Cuba.

South Korea.

Argentina.

. After 2006, the Iranian president, Mahmoud Ahmadinejad, openly pushed the development of

Iranâ€™s nuclear program.

Iranâ€™s oil independency.

Iranâ€™s Middle East alliance.

Iranâ€™s green revolution.

. After the terrorist attacks of September 11, 2001,

War broke out in several states in the Middle East.

The United States quickly retaliated against Iraq.

The worldâ€™s stock markets fell drastically.

The United States vowed to be more responsive to the Global South.

. In _____ a mortgage crisis began in ___________.

2001 . . .Japan.

2008 . . .United States.

2012 . . .European Union.

2014 . . .Japan.

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