1. Interact with influence each other, and in doing so, they affect the level of economic well-being.

ANS. POLITICAL ECONOMY

2. It can be assessed according to two dimensions. The first is the degree to which they emphasize
collectivism as opposed to individualism. The second is the degree to which they are democratic or
totalitarianism.
ANS. POLITICAL SYSTEM

3. He argued that the few benefit at the expense of the many in a capitalist society where individual
freedoms are not restricted.
ANS. KARL MARX

4. They believed that socialism could be achieved only through violent revolution and totalitarian
dictatorship.
ANS. COMMUNIST

5. It stresses that the interests of the individual should take precedence over the interests of the state.
ANS. INDIVIDUALISM

6. It refers to political system in which government is by the people, exercised either directly or
through elected representatives.
ANS. DEMOCRACY

7. It is found in states where political power is monopolized by a party, group, or individual that
governs according to religious principles.
ANS. THEOCRATIC TOTALITARIANISM

8. Nations are neither pure democracies nor iron-clad totalitarian states, they might describe as
imperfect
ANS.PSEUDO-DEMOCRACIES
9. All productive activities are privately owned, as opposed to being owned by the state.
ANS. MARKET ECONOMY

10. A country's laws regulate business practice, define the manner in which business transactions are to
be executed, and set down the rights and obligations of those involved in business transactions.
ANS. LEGAL SYSTEMS

11. It refers to the merging of historically distinct and separate national markets into one huge global
market place.
ANS. GLOBALIZATION OF MARKETS

12. It refers to the sourcing of goods and services from locations around the globe to take advantage of
national differences in the cost and quality of factors of production.
ANS. GLOBALIZATION OF PRODUCTION

13. It is responsible for facilitating the establishment of additional multinational WTO member states.
ANS. WORLD TRADE ORGANIZATION (WTO)

14. It was by 51 countries committed to preserving peace through international cooperation and
collective security.
ANS. UNITED NATIONS (UN)

15. It comprises the finance ministers and central bank governors of the 19 largest economies in the
world, plus representative from European union and the European Central bank.
ANS.GROUP OF TWENTY (G20)

16. It was established to maintain order in the international monetary system

ANS.INTERNATIONAL MONETARY FUND
17. It was set up to promote economic development

ANS. WORLD BANK

18. It is an international theory that established basic principles of international relations.

ANS. UN CHARTER

19. It is any business that has productive activities in two or more countries.
ANS. MULTINATIONAL ENTERPRISE

20. Another trend in international business has been the growth of small and sized multinational.
ANS. MINI-MULTINATIONALS