Free PDF Quiz Valid Global-Economics-for-Managers - New WGU Global Economics for Managers (C211, UZC2) Test Notes

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

SectionWeightObjectives
Foundations of Global Economics20%- Views on Globalization
  • 1. Drivers and consequences of globalization
  • 2. New view, Evolutionary view, Pendulum view
- Economic Systems and Institutions
  • 1. Political, legal, and cultural frameworks
  • 2. Market, command, and mixed economies
Foreign Direct Investment and Global Strategy20%- Foreign Direct Investment (FDI)
  • 1. Location advantages and entry modes
  • 2. Theories of FDI, costs and benefits
- Global Business Strategy
  • 1. Porter's Diamond model
  • 2. Strategic positions: Defender, Extender, Contender, Dodger
International Trade Theory and Policy25%- Classical and Modern Trade Theories
  • 1. Absolute advantage, Comparative advantage
  • 2. Heckscher-Ohlin, Product life-cycle, Strategic trade theory
- Trade Policies and Barriers
  • 1. Economic integration: EU, USMCA, ASEAN
  • 2. Tariffs, quotas, subsidies, embargoes
Macroeconomics for Managers10%- Economic Indicators and Policies
  • 1. Fiscal and monetary policy impacts
  • 2. GDP, inflation, unemployment, business cycles
Global Finance and Monetary Systems25%- Balance of Payments and International Monetary System
  • 1. Fixed vs floating exchange rates, IMF, World Bank
  • 2. Current account, capital account, official reserves
- Foreign Exchange Markets
  • 1. Exchange rate determination, currency regimes
  • 2. Hedging and risk management

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WGU Global Economics for Managers (C211, UZC2) Sample Questions (Q22-Q27):

NEW QUESTION # 22
What happens when the Federal Reserve increases the money supply?

Answer: A


NEW QUESTION # 23
Which methods does the Federal Reserve use to alter reserve quantities? Choose three answers.

Answer: A,D,F

Explanation:
The Federal Reserve alters bank reserve quantities through monetary policy tools such as changing the discount rate and conducting open market operations. Option A is correct because raising the discount rate makes borrowing from the Fed more expensive, which can reduce bank reserves and lending. Option B is correct because buying bonds injects reserves into the banking system; the Fed pays for bonds, increasing bank reserves. Option E is correct because selling bonds removes reserves from the banking system as banks and investors pay the Fed. Raising inflation is not a direct Fed operating tool. Selling stock shares is not how the Fed manages reserves. Raising income tax rates is fiscal policy controlled by government taxation authorities, not the Federal Reserve's reserve-management tool.


NEW QUESTION # 24
What is one characteristic of a market surplus?

Answer: B

Explanation:
InGlobal Economics for Managers, amarket surplusoccurs whenquantity supplied exceeds quantity demanded, making option B correct.
Surpluses typically arise when prices are set above the equilibrium level. At higher prices, producers supply more while consumers demand less, creating excess supply. Market forces then place downward pressure on prices until equilibrium is restored.
Options A and C describe shortages. Option D may be true in some cases but is not the defining characteristic.
Thus, option B correctly defines a market surplus.


NEW QUESTION # 25
What does the Federal Reserve do to expand aggregate demand? (Choose TWO.)

Answer: C,D

Explanation:
InGlobal Economics for Managers, the Federal Reserve expands aggregate demand byincreasing the money supplyandlowering interest rates, making options B and C correct.
Increasing the money supply provides banks with more reserves, encouraging lending. Lower interest rates stimulate borrowing by households and firms, increasing consumption and investment. Both channels raise aggregate demand.
The remaining options contract demand rather than expand it. Therefore, B and C are correct.


NEW QUESTION # 26
What are examples of intellectual property? (Choose TWO.)

Answer: A,C

Explanation:
InGlobal Economics for Managers,intellectual property (IP)refers to legally protected creations of the mind.
Patentsandtrademarksare two major forms of IP, making options A and B correct.
Patents protect new inventions, processes, or technologies, granting exclusive rights to inventors for a limited time. Trademarks protect brand identifiers such as names and logos.
Subsidies and tariffs are government policies, not intellectual property protections.
Therefore, options A and B correctly identify examples of intellectual property.


NEW QUESTION # 27
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