QUESTION 30

1. Barkely Enterprises, a U.S. manufacturer, received assistance from the Overseas Private Investment Corporation when it expanded operations into Saudi Arabia. Which of the following types of support did Barkely most likely receive from OPIC?

   		financial capital
   		cultural training
   		legal guidance
   		political risk insurance

1 points

QUESTION 31

1. Since the late 1980s, the growing emergence of freer markets has been powered by the realization that ________.

   		economic growth is directly related to economic freedom
   		economic growth has a limited effect on the standard of living
   		adoption of free market principles contributes to social injustices
   		centrally planned economies are best designed to deliver progress

1 points

QUESTION 32

1. ________ is the chance that political forces may change a country's business environment in ways that lead investors to lose some or all of the value of their investment or be forced to accept a lower-than-projected rate of return.

   		Governmental risk
   		Operating risk
   		Transaction risk
   		Political risk

1 points

QUESTION 33

1. The ________ of a country specifies the rules that regulate behavior, the processes by which laws are enforced, and the procedures used to resolve grievances.

   		political system
   		political philosophy
   		philosophical orientation
   		legal system

1 points

QUESTION 34

1. According to the A.T. Kearny/Foreign Policy Globalization Index, countries ________.

   		tend to be ranked similarly on all four dimensions
   		are more globalized on the political dimension than on personal contact
   		that are large in land mass and population are less globalized than small countries
   		sometimes rank high on one dimension and low on another

1 points

QUESTION 35

1. Which of the following is NOT a component of modern legal systems?

   		constitutional law
   		criminal law
   		commercial law
   		private law

1 points

QUESTION 36

1. The Economic Freedom Index indicates that economic freedom is positively correlated with all of the following EXCEPT ________.

   		life expectancy
   		literacy
   		environmental sustainability
   		diversity

1 points

QUESTION 37

1. A foreign-exchange contract that is an agreement between two parties to buy or sell a particular currency at a particular price at a particular date as specified in a standardized contract to all participants in the specified market is known as a(n) ________.

   		spot contract
   		forward contract
   		futures contract
   		equity currency contract