Quiz 1 for UNC - Conboy
Quiz 1 Multiple Choice Questions
1. An international trade theory, grounded in the work of Adam Smith and David Ricardo, that focuses on the importance of comparative advantage obtained through differences in natural or acquired economic advantages is referred to as:
a. Classical trade theory
b. Factor proportion theory
c. Product life cycle theory
d. Competitive advantage theory
2. Paul Krugman’s “realist” perspective embraces which of the following conclusions:
a. Countries compete with each other much like companies compete with each other and must therefore engage in similar strategic behaviors
b. Government intervention in the market is often essential due to imperfections that allow for the formation of monopolies and oligopolies in lucrative industry segments
c. Economic growth in one country must come at the expense of economic growth in another, therefore countries must protect domestic industry in many instances
d. Market imperfections due in fact exist, but the prospects for improving the situation through strategic trade policy is overstated by those in favor of government intervention
3. Cluster theory suggests that companies obtain resources as a result of geographic proximity to other related and supportive industries primarily as a result of:
a. Information spillovers
b. Lower shipping costs
c. Region specific subsidies
d. Access to a common labor pools
4. A theory of internationalization, observed in the wine industry in the assigned readings, that focuses on the development of relationships between producers, suppliers, competitors, and government to obtain information and resources necessary to complete globally is referred to as:
a. Uppsala model
b. Network model
c. Innovation model
d. Leverage model
5. Michael Porter’s Diamond Model focuses on all of the following, EXCEPT:
a. The importance of international competition to drive technological innovation
b. Factors conditions in the domestic market that
1. An international trade theory, grounded in the work of Adam Smith and David Ricardo, that focuses on the importance of comparative advantage obtained through differences in natural or acquired economic advantages is referred to as:
a. Classical trade theory
b. Factor proportion theory
c. Product life cycle theory
d. Competitive advantage theory
2. Paul Krugman’s “realist” perspective embraces which of the following conclusions:
a. Countries compete with each other much like companies compete with each other and must therefore engage in similar strategic behaviors
b. Government intervention in the market is often essential due to imperfections that allow for the formation of monopolies and oligopolies in lucrative industry segments
c. Economic growth in one country must come at the expense of economic growth in another, therefore countries must protect domestic industry in many instances
d. Market imperfections due in fact exist, but the prospects for improving the situation through strategic trade policy is overstated by those in favor of government intervention
3. Cluster theory suggests that companies obtain resources as a result of geographic proximity to other related and supportive industries primarily as a result of:
a. Information spillovers
b. Lower shipping costs
c. Region specific subsidies
d. Access to a common labor pools
4. A theory of internationalization, observed in the wine industry in the assigned readings, that focuses on the development of relationships between producers, suppliers, competitors, and government to obtain information and resources necessary to complete globally is referred to as:
a. Uppsala model
b. Network model
c. Innovation model
d. Leverage model
5. Michael Porter’s Diamond Model focuses on all of the following, EXCEPT:
a. The importance of international competition to drive technological innovation
b. Factors conditions in the domestic market that