Global Value Chains in Covid-19 Crisis

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Questions and Answers

What is the purpose of the smiling curve in the context of technology or manufacturing?

  • To illustrate the value-added distribution at different stages of a product's lifecycle. (correct)
  • To show the cultural impact on global value chains.
  • To represent the environmental sustainability of products.
  • To explain the geopolitical implications of international trade.

Which principle explains that different production stages of a product are carried out in different countries?

  • International Division of Labor Principle
  • Strategic Autonomy Principle
  • Global Value Chains Principle (correct)
  • Radical Sovereignty Principle

What does the term 'backward linkage' refer to in the context of global value chains?

  • Connection between final products and the companies that supply components or raw materials. (correct)
  • Connection between manufacturing and assembly stages.
  • Connection between international trade and economic sovereignty.
  • Connection between marketing and research and development phases.

In the context of international trade, what does the term 'minimalist view' of sovereignty suggest?

<p>A sovereign country is a country rich and attractive. (C)</p> Signup and view all the answers

What is the main idea behind the new view of sovereignty known as 'strategic autonomy'?

<p>Implementing targeted policies to reduce dependency on certain products. (D)</p> Signup and view all the answers

Which incident led to tensions on components and intermediate products supply during the Covid-19 crisis mentioned in the text?

<p>Suez Canal incident (C)</p> Signup and view all the answers

What is the main purpose of Defensive sovereignty in the context of trade policy?

<p>To combat unfair competition like dumping and foreign public subsidies (D)</p> Signup and view all the answers

What are the 3 cumulative conditions that must be met to impose measures against unfair practices in Europe?

<p>Show that dumping, injury, and cause-effect are occurring (C)</p> Signup and view all the answers

What major change occurred in Europe after the solar panel incident regarding anti-dumping tools?

<p>Faster and more efficient investigations were implemented (B)</p> Signup and view all the answers

What does the new WTO's definition of 'public subsidies' entail?

<p>Any financial contribution by a government or public body within a Member territory (C)</p> Signup and view all the answers

What is the objective of implementing a reshoring policy as part of Offensive sovereignty?

<p>To bring back offshored industries to the home country (A)</p> Signup and view all the answers

Why does reshoring at the national level have a negative effect on costs according to the text?

<p>Because reshoring disrupts global value chains (GVCs) (D)</p> Signup and view all the answers

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