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WGU Global Economics for Managers (C211, UZC2) Sample Questions:

1. An import tariff is implemented on apples. What is the effect on domestic government revenue?

A) It decreases
B) It becomes negative
C) It remains unchanged
D) It increases

2. What is one of the four strategic goals of firms looking for potential locations?

A) Profit-seeking
B) Market-seeking
C) Competition-seeking
D) Scale-seeking

3. Which quantity is calculated using the formula variable costs (VC) + fixed costs (FC)?

A) Explicit cost (EC)
B) Total cost (TC)
C) Average variable cost (AVC)
D) Implicit cost (IC)

4. When confronting MNEs, the extender strategy centers on what?

A) Engaging in rapid learning and then expanding overseas
B) Leveraging homegrown competencies abroad
C) Leveraging local assets in areas in which MNEs are weak
D) Cooperating through joint ventures (JVs) with MNEs and sell-offs to MNEs

5. An institution-based view of global business focuses on the specific relationship between which two entities?

A) Firms and governments
B) Firms and institutions
C) Customers and firms
D) Customers and institutions

Solutions: