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International Business Chapter 1-4

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International Business Chapter 1-4
Chapter 01 Globalization and International Linkages

1. To qualify as a multinational corporation, a firm must meet all of the following criteria except:
A. Operations in more than one country
B. International sales
C. A nationality mix of managers and owners
D. Sales of at least one million dollars per year
2. Antiglobalization activists:
A. Contend that even within the developing world, it is protectionist policies, not trade and investment liberalization, that result in environmental and social damage
B. Believe globalization will force higher-polluting countries such as China and Russia into an integrated global community that takes responsible measures to protect the environment
C. Assert that if corporations are free to locate anywhere in the world, the world 's poorest countries will relax or eliminate environmental standards and social services in order to attract first-world investment and the jobs and wealth that come with it
D. Believe that industrialization will create wealth that will enable new industries to employ more modern, environmentally friendly technology
3. A method which adjusts GDP to account for different prices in countries is called:
A. Cumulative distribution function
B. Nominal GDP
C. Current currency exchange rate
D. Purchasing power parity
4. The following are characteristics of the nature of India 's current relationship with multinational business except:
A. In recent years the number of multinational businesses investing in India have been sharply declining
B. There has been a dramatic turnaround in the policies of India 's government, which has become more pro international business
C. In an effort to attract more international business, India 's government has been willing to reduce some of its bureaucratic red tape
D. It is becoming easier for multinational to move forward with investments in India
5. The Goldman Sachs global economics team:
A. Estimates that Chile will occupy a dominant

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