Global-Economics-for-Managers Latest Test Cost, Test Certification Global-Economics-for-Managers Cost

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WGU Global-Economics-for-Managers Exam Syllabus Topics:

SectionObjectives
Competency 3: Economic Decision-Making by Firms and Customers- Consumer Behavior (Budget Constraint, Indifference Curves)
- Firm Behavior Under Different Market Structures (Perfect Competition, Monopoly, Oligopoly)
Key Topics Across All Competencies- International Trade Policies (Tariffs, Quotas)
- Elastic vs. Inelastic Goods
- Foreign Direct Investment (FDI) Impacts
- Global Business Strategies and Porter's Framework
- Supply and Demand Shifts
- Currency Appreciation and Depreciation
Competency 2: Political and Economic Forces- Property Rights and the Rule of Law
- Market Economy vs. Command Economy
Competency 1: International Trade and Currency Exchange- Currency Exchange Rate Determination
- Introduction to International Trade Theories
- Impact of Interest Rates on Financial Flows and Exchange Rates

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WGU Global Economics for Managers (C211, UZC2) Sample Questions (Q68-Q73):

NEW QUESTION # 68
An import tariff is implemented on furniture. What is the effect on consumer surplus for furniture?

Answer: A

Explanation:
An import tariff raises the domestic price of imported furniture, which reduces consumer surplus. Option A is correct. Consumer surplus is the difference between what buyers are willing to pay and what they actually pay. When a tariff increases the market price, consumers pay more and typically buy less. This reduces the benefit consumers receive from participating in the market. Domestic producers may gain producer surplus, and the government may collect tariff revenue, but consumers lose because prices rise and available choices may shrink. Option B is too weak because the standard tariff effect on consumer surplus is a decrease. Option C is wrong because tariffs change prices and quantities. Option D is the opposite of the expected effect.
Tariffs redistribute welfare away from consumers.


NEW QUESTION # 69
Which effect does increased government spending have on aggregate demand if the multiplier effect is greater than the crowding-out effect?

Answer: D

Explanation:
In Global Economics for Managers , when the multiplier effect exceeds the crowding-out effect , increased government spending causes aggregate demand (AD) to rise by more than the initial increase in spending
, making option A correct.
The multiplier effect occurs because government spending generates income, which leads to further consumption. Crowding out occurs when government borrowing raises interest rates and reduces private investment. If the multiplier is stronger, the net effect is an amplified increase in AD.
Thus, option A is correct.


NEW QUESTION # 70
In which situation is the dodger strategy appropriate for responding to multinational enterprises (MNEs)?

Answer: C

Explanation:
InGlobal Economics for Managers, thedodger strategyis appropriate whenindustry pressure to globalize is low and a firm's competitive assets are customized to its home market, making option D correct.
Under this strategy, firms avoid direct confrontation with multinational enterprises by focusing on niche markets, specialized products, or protected domestic segments. Since globalization pressure is weak, firms are not forced to expand internationally, and their localized assets give them an advantage at home.
Dodgers may also cooperate selectively with MNEs or operate in areas where global competition is limited.
This strategy minimizes risk and preserves firm-specific advantages without costly global expansion.
Options A and B align with extender strategies. Option C aligns with contender strategies.
Thus, option D correctly identifies when the dodger strategy is appropriate.


NEW QUESTION # 71
What is a characteristic of a market economy?

Answer: C

Explanation:
InGlobal Economics for Managers, amarket economyis characterized byprivate ownership of the factors of production, making option B correct. Individuals and firms own land, labor, capital, and entrepreneurship, and decisions are guided by market prices rather than central planning.
Private ownership creates incentives for efficiency, innovation, and investment. Prices emerge from supply and demand, coordinating economic activity through what Adam Smith described as the "invisible hand." Options A, C, and D describe command economies, not market economies.
Thus, option B correctly identifies a defining feature of a market economy.


NEW QUESTION # 72
An institution-based view of global business focuses on the specific relationship between which two entities?

Answer: A

Explanation:
InGlobal Economics for Managers, theinstitution-based view of global businessfocuses on the relationship betweenfirms and institutions, making option D the correct answer. This perspective argues that firm strategies and performance are shaped not only by industry conditions and firm resources but also by the institutional environment in which firms operate.
Institutions include bothformal rules(laws, regulations, property rights) andinformal constraints(norms, cultures, and ethical standards). Firms must align their strategies with these institutions to gain legitimacy, reduce uncertainty, and operate effectively. Governments are important institutional actors, but the institution- based view extends beyond governments to include social norms and cultural expectations.
Options A and B overlook the strategic role of institutions. Option C is too narrow, as it limits the relationship to firms and governments rather than the full institutional framework.
Thus, option D accurately reflects the institution-based view emphasized in global managerial economics.


NEW QUESTION # 73
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