Chapter 9

Question 1

What is Economic of Globalization?

Answer 1

The spread of trade, transportation, and communication systems around the world in the interests promoting worldwide commerce

Question 2

How do some people positively view economic globalization?

Answer 2

A force that creates healthy interdependence that will lead to prosperity for everyone

Question 3

How does Joseph Stiglitz view globalization?

Answer 3

He says that countries have become interdependant due to communication and transportation and that transportation costs have been greatly reduced which removed barriers

Question 4

How does Naomi Klein view globalization?

Answer 4

globalization shuts some people out of schools, hospitals, workplaces, and even their own farms, homes, and communities. Because of globalization, she says, people are unemployed and their basic needs are not being met

Question 5

what has increased the power and size of economic nations?

Answer 5

The relatively free movement of money, people, information, and goods across borders

Question 6

what are some negative arguments to interdependance?

Answer 6

Some people argue that this interdependence creates instability because a crisis in one country can become a serious global economic problem that can lead to job losses, factory closures, and unemployment in many other countries.

Question 7

What are some positive arguments to interdependency?

Answer 7

Stability is increased because countries that trade with one another are unlikely to go to war

Question 8

Why had many European countries borrow lots of money from the United States during world war 1?

Answer 8

Because much infrastructure had been destroyed in the war. The economic costs of war were also hight

Question 9

Why did many countries restrict international trade?

Answer 9

Because after world war one they wanted to focus on rebuilding their countries

Question 10

Why did the production of manufactured goods drop after WW1?

Answer 10

Because many countries restricted international trade to focus on rebuilding

Question 11

What was signed after WW1 to ensure peace?

Answer 11

The treaty of Versailles

Question 12

What were the reparations Germany had to pay for their role in WW1?

Answer 12

• payments for war damages in Britain, France, Russia, and other countries
• The peace treaty also required Germany to give up its colonies

Question 13

How did Canada try to offset the debt it had from world war 1?

Answer 13

They created an income tax

Question 14

Why did unemployment rise after WW1 in Canada?

Answer 14

As the war ended, weapon manufacturers, soldiers, and nurses were no longer needed

Question 15

What was the Russion government like before the Russian revolution?

Answer 15

It was run by an absolute monarch Czar Nicholas the II. Russian citizens lived a difficult life that offered them little control over their own property or labour.

Question 16

Why was Russia defeated in the world war?

Answer 16

Because they were less industrialized during the world war and had poor weapons

Question 17

Why did many Russians rebel during the war?

Answer 17

Because of fuel and food shortages

Question 18

What forced Czar Nicholas the second to give up his throne?

Answer 18

During the Russian revolution the Russian economy shut down and the Nicholas family was murdered

Question 19

What emerged out of the Russian revolution?

Answer 19

The Soviet Union

Question 20

what kind of economy was the Soviet Union?

Answer 20

Communism. A new economic and political model that was supposed to get rid of class distinctions.

Question 21

What did Communism oppress?

Answer 21

Capitalism

Question 22

Who was the absolute monarch of the Soviet Union?

Answer 22

Joseph Stalin

Question 23

what were the nagatives to Joseph Stalin ruling?

Answer 23

Peasants were forced to work in mines and on farms and he turned the country into an industrial and military giant

Question 24

when did Canada experience an economic boom?

Answer 24

In the 1920s

Question 25

When did Canada experience a great depression?

Answer 25

In 1929`

Question 26

What caused the great depression?

Answer 26

Many investors started selling their shares in companies which caused the stock markets to plummet. Many who lost money could no longer pay bills and repay loans

Question 27

How did countries try to protect their industries?

Answer 27

they imposed large tarriffs on imports and international trade

Question 28

What caused world war II?

Answer 28

Hitler was elected absolute ruler of parliment and began to invade other countries. Other countries overseas then began to defend britain when Japan attacked pear harbour

Question 29

What was a positive effect on Canada from the world war II?

Answer 29

Unemployment fell and many women joined the workforce

Question 30

What organization was built to prevent a similar global conflict like world war II?

Answer 30

United Nation

Question 31

What was the purpose of the Bretton Woods conference?

Answer 31

To try to figure out how they could prevent the kind of economic turmoil that could lead to another world war.

Question 32

What did John Maynard Keynes believe about government involvement in the economy?

Answer 32

When unemployment is low the government should set up programns to hire the unemployed and ensure people had money to spend

Question 33

What did Friedrich Hayek believe the government should do when employment is low?

Answer 33

They should protect market by ensuring their rulles do not interfere with competition between businesses

Question 34

What were 2 organizations created out of the Bretton Woods conference?

Answer 34

The World Bank and the International Monetary Fund

Question 35

what is the purpose of The World Bank and the International Monetary Fund?

Answer 35

To help expand trade and prevent international conflict

Question 36

What agreement was created at the Bretton Woods conference?

Answer 36

General Agreement on Tariffs and Trade — GATT. They agreed to gradually reduce tarriffs

Question 37

What emerged out of the General Agreement on Tariffs and Trade — GATT

Answer 37

The world Trade organization

Question 38

What is the purpose of the WTO?

Answer 38

Regulating trade in services, such as telecommunications and banking, as well as goods. It had also set rules to protect copyright and intellectual property

Question 39

Which countries became economic superpowers after world war II?

Answer 39

The USA and the Soviet Union

Question 40

What caused friction between USA and the Soviet Union?

Answer 40

Their difference in government systems

Question 41

What was the Cold War?

Answer 41

A non-military war of trade between capitalist and communist countries