Market Integration

Question 1

Refers to how easily two or more markets can trade with each other.

Answer 1

Market Integration

Question 2

It occurs when prices among different locations or related goods follow similar patterns over a long period of time.

Answer 2

Market Integration

Question 3

Groups of prices often move proportionally to each other and when this relation is very clear among different markets it is said that the markets are integrated.

Answer 3

Market Integration

Question 4

The term is further used in identifying related phenomenon of market of goods and services experiencing similar patterns of increase or decrease in prices of products.

Answer 4

Market Integration

Question 5

refer to the movement of prices of related goods and services sold in a defined geographical location in similar patterns.

Answer 5

Market Integration

Question 6

When government implement certain strategy to control the direction of economy then?

Answer 6

Integration is intentional

Question 7

while shifting in supply and demand that has a spillover effect on several markets is another factor of_____________

Answer 7

Market Integration

Question 8

One way of helping integration of market is by?

Answer 8

Reducing trade barriers and foreign trade

Question 9

It exists when there are exerted effects that prompt similar changes or shifts in other markets that focus on related goods on events occurring within two or more markets.

Answer 9

Market integration

Question 10

This is a condition in which stock markets in different countries trend together and depict same expected risk adjusted returns.

Answer 10

Stock Market Integration

Question 11

It is an open market economy between countries facilitated by a common currency and the elimination of technical, regulatory and tax differences to encourage free flow of capital and investment across borders.

Answer 11

Financial Market Integration

Question 12

It occurs when lending rates in several different markets begin to move in tandem with one another.

Answer 12

Financial Market Integration

Question 13

is a business that operates in two or more countries.

Answer 13

Global corporations

Question 14

Also called a multinational company

Answer 14

Global Corporations

Question 15

Several advantages are offered by global expansion of business over running a strictly domestic company.

Answer 15

Global Corporation

Question 16

An approach study of globalization that locates the phenomenon itself in early patterns of trade and exchange.

Answer 16

Historical Globalization

Question 17

Emerged in the period prior to the end of the world war l l.

Answer 17

Modern national state system

Question 18

Led the economic recovery and expansion after the World War Two.

Answer 18

American corporation

Question 19

From the end of the world war two up to the present is considered as the?

Answer 19

period of transformation of global corporations.

Question 20

The reentry of this corporation to the global scene is viewed as.

Answer 20

Japanese and European
Multinational Corporations (MNC’s)

Question 21

They must balance the opportunities with the challenges of operating in multiple environments in managing their internal markets in building an advantage.

Answer 21

Chief Financial Officer’s (CFO’s)

Question 22

These three functions can be created by CFOs through exploiting their internal capital markets.

Answer 22

Financing, Risk Management, Capital Budgeting

Question 23

A group’s tax bill can be reduced by the CFO like borrowing in countries with high tax rates and lending operations in the countries with lower rates.

Answer 23

Financing

Question 24

Global firms can offset natural currency exposures through worldwide operations instead of managing currency exposures through financial markets.

Answer 24

Risk Management

Question 25

Getting smarter on valuing investment opportunities CFOs can add value.

Answer 25

Capital Budgeting

Question 26

It is a major driver of extended global corporate development. was of corporate origin.

Answer 26

Foreign Direct Investment (FDI)

Question 27

It is an investment made by a company or individual in one country in business interests in another country.

Answer 27

Foreign Direct Investment (FDI)

Question 28

that it is an investment made that establishes either effective control of, or at least substantial influence over, the decision making of a foreign business.

Answer 28

Foreign Direct Investment (FDI)

Question 29

it is an investment made that establishes either effective control of, or at least substantial influence over, the decision making of a foreign business.

Answer 29

Key feature of Foreign Direct Investment

Question 30

It is made open to economies; frequently involves more than just a capital investment and includes provision of management or technology as well.

Answer 30

Foreign Direct Investment

Question 31

BRICS

Answer 31

Brazil, Russia, Indi , China, South Africa

Question 32

originally coined in 2003 by Goldman Sachs , which speculates that by 2050 these four economies will be the most dominant.

Answer 32

BRIC

Question 33

BRIC was coined by?

Answer 33

Goldman Sachs

Question 34

It is the country added to BRIC on April 13, 2011 creating BRICS

Answer 34

South Africa

Question 35

These five countries were among the fastest growing emerging markets as of 2011.

Answer 35

Brazil, Russia, Indian, China, South Africa

Question 36

When did South Africa got added to BRICS

Answer 36

April 11, 2013

Question 37

Cited as source of foreign expansion opportunity i.e. promising economies in which to invest.

Answer 37

BRICS

Question 38

the first multilateral agreement covering trade in services which was negotiated during the last round of multilateral trade negotiations called.

Answer 38

Uruguay Round

Question 39

When did Uruguay Round come into force?

Answer 39

1995

Question 40

provides a framework of rules governing services trade, establishes a mechanism for countries to make commitments to liberalize trade in services and provides a mechanism for resolving disputes between countries.

Answer 40

General Agreement on Trade and Services (GATS)

Question 41

has similar principle with the General Agreement on Tariffs and Trade

Answer 41

GATS
General Agreement on Trade in Services

Question 42

Deals with trade goods

Answer 42

GATT

Question 43

Two Primary objectives of GATT:

Answer 43

ensure that all signatories are treated equitably when accessing foreign markets

to promote progressive liberalization of trade and services