W2P3 (article): An economist explains the pros and cons of globalisation

Question 1

Which innovation primarily drove the first wave of globalization?
a) Airplane
b) Steam engine
c) Digital revolution
d) Assembly Line

Answer 1

B

Question 2

What was the third wave of globalization driven by?
a) Digital revolution
b) Mass production
c) Electricity
d) Water power

Answer 2

A

Question 3

According to Gita Gopinath, what is needed to ensure the next wave of globalization is successful?
a) Increased international competition
b) Elimination of trade tariffs
c) Good domestic policies to help those left out
d) Higher investments in technology

Answer 3

C

Question 4

What is one of the primary effects of globalization on markets?
a) Increased prices and reduced trade
b) Decreased competition in domestic markets
c) Increased trade and lower prices
d) Reduced competition between countries adopting different trade strategies

Answer 4

C

Question 5

What are the advantages of globalization?
a) Decreased productivity and higher prices
b) Raised output, increased productivity, job creation, higher wages, and lower prices
c) Fewer jobs and lower wages
d) Reduced economic output and limited technological improvement

Answer 5

B

Question 6

What is a significant benefit of international trade that affects people’s daily lives?
a) Increased wages for workers
b) Lower prices of everyday goods
c) More competition in domestic labour markets
d) Fewer imports of goods

Answer 6

B

Question 7

Who are the biggest losers in international trade?
a) High-skilled workers in developing economies
b) Low-skilled workers in capital-intensive industries
c) Workers in industries with cheaper competitors abroad
d) Consumers who rely on imported goods

Answer 7

C