Foreign Direct Investments (FDI) and Globalizing Actors Quiz

Play an AI-generated podcast conversation about this lesson

Which of the following is a potential consequence of a disruption in the supply chain?

Reduced economic cooperation (correct)

Increased economic cooperation

Reduced political cooperation

Increased political cooperation

What is an example of a resource that can cause disruptions if its production is affected?

Rare earth metals (correct)

Copper

Coal

Oil

Why can disruptions in the production of rare earth metals be a risk?

They are used in light-emitting diode (LED) lights

They are produced in China

They are essential for renewable energy construction (correct)

They are used in most electronic displays

Which country is a major producer of rare earth metals?

China Signup and view all the answers

What can disrupt the production of copper?

All of the above Signup and view all the answers

Why can disruptions in the production of copper be a risk?

Copper is essential for renewable energy construction Signup and view all the answers

Which country is a major producer of copper?

Chile Signup and view all the answers

What can disruptions in the supply chain lead to?

Reduced political cooperation Signup and view all the answers

What can disruptions in the supply chain result in?

Reduced political cooperation Signup and view all the answers

Which of the following is a characteristic of globalization?

Increased interactions between citizens of different countries Signup and view all the answers

What is the main difference between globalization and nationalism?

Globalization involves economic and financial cooperation, while nationalism focuses on limited cooperation Signup and view all the answers

What motivates companies to engage in globalization?

Increasing profits, accessing resources and markets, and intrinsic gain Signup and view all the answers

How can companies increase profits through globalization?

By increasing sales and reducing costs Signup and view all the answers

Why do non-state actors participate in globalization?

To access resources and markets Signup and view all the answers

What type of flows are short-term investments in foreign assets?

Portfolio investment flows Signup and view all the answers

What can facilitate or accelerate globalization?

Political cooperation Signup and view all the answers

What is globalization?

The process of interaction and integration among people, companies, and governments worldwide Signup and view all the answers

What has been the trend in the World Bank Openness Index over the years?

It has increased from 27 percent in 1970 to over 60 percent in 2019 Signup and view all the answers

What are some of the headwinds that globalization has experienced since 2008?

All of the above Signup and view all the answers

How are automobiles typically produced in a globalized world?

Parts are made in multiple countries, assembled in another country, and sold in a third country Signup and view all the answers

What does the process of globalization provide for companies in terms of their products?

Opportunities to find the best inputs for their product Signup and view all the answers

What opportunities does globalization provide for investors worldwide?

Opportunities to invest in the process of supply chain management and logistics Signup and view all the answers

What has been the impact of the Global Financial Crisis on globalization?

It has decreased some countries’ appetite for using imported products or services Signup and view all the answers

Which of the following is NOT a potential disadvantage of globalization?

Increased labor mobility Signup and view all the answers

What is intrinsic gain in the context of globalization?

A side effect or consequence of an activity that generates a benefit beyond profit itself Signup and view all the answers

What can be a potential consequence of globalization on environmental resources?

Reduced environmental quality Signup and view all the answers

What is one example of intrinsic gain mentioned in the text?

Personal growth or education from expanding horizons Signup and view all the answers

What are some of the benefits of globalization mentioned in the text?

Increased choice, higher quality goods, and increased labor mobility Signup and view all the answers

What is a potential political consequence of globalization?

Differences in opportunity Signup and view all the answers

How can globalization contribute to income and wealth inequality?

By creating unequal accrual of economic and financial gains Signup and view all the answers