PRACTICE MULTIPLE CHOICE BATTERY (ECONOMIC EMPHASIS)

1. Liberalism is characterized by all of the following EXCEPT: a. Free markets b. Freedom of the press c. Freedom of religion d. Low or no tariffs on trade e. More emphasis on equality than liberty Which of the following political ideologies accepts and promotes free market principles yet believes that the state should regulate the economy and provide benefits in order to ensure some measure of equality? a. Liberalism b. Communism c. Socialism d. Fascism e. Conservatism Which of the following is the most direct measure of social welfare? a. GNP b. GNP per capita c. PPP d. Freedom House rankings e. HDI Which British political party generally supports a market-controlled economy, privatization of industry, less involvement with the EU, and fewer social welfare programs? a. Labour Party b. Liberal Democratic Party c. Conservative Party d. Scottish Nationalist Party e. Sinn Fein The influence of neoliberalism was(is) the most apparent in the policymaking process of the British government under a. Winston Churchill b. Margaret Thatcher c. John Major d. Tony Blair e. Gordon Brown 6. The European Union has its roots in post-World War II supranational organizations that emphasized a. Improving the economic health of European nations b. Developing international courts with jurisdiction over all European nations c. Granting asylum to refugees from both World War II and the Cold War d. Developing a common defense policy for European nations e. Regulating immigration across national borders In the Communist Manifesto, Karl Marx predicted that capitalism would no longer be a viable economic system after the a. Rise of the Soviet Union b. Application of democratic centralism c. Revolution of the proletariat d. Fall of imperialism e. Reassertion of property rights by the middle class Of the four countries that met together in 2009 as BRIC, the Russian economy lags the furthest behind primarily because of a. declining oil prices b. corruption c. inflation d. lack of international recognition e. declining land prices Shock Therapy in modern Russian politics is a reference to a. The attempt to quickly stop corrupt practices by the oligarchy b. Sudden free-market economic reform accompanied by rapid democratic political reform c. The governments decision to send military troops to stop ethnic rebellions in the Caucasus d. The elimination of the Communist Party and centralized plan e. The propaganda effort to wipe all references to Russias political past from textbooks and other educational materials

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PRACTICE MULTIPLE CHOICE BATTERY (ECONOMIC EMPHASIS)

10. Mikhail Gorbachev and Deng Xiaoping, leaders of Russia and China respectively in the late 20th century, had which of the following in common? a. Both renounced communist rule b. Both led movements that promoted ideological purification c. Both led military revolutions against their governments d. Both lost control of their governments amidst opposition of their policies e. Both were reformers that supported an infusion of capitalism into their command economies 14. Which of the following is the most significant reason why many people of other nations oppose free trade with China? a. A major concern is that China wont be able to keep a proper import/export balance b. Many are afraid that the inclusion of huge numbers of Chinese consumers will lead to worldwide inflation c. Most objections are based on human rights issues d. Critics claim that competition from Chinese goods will weaken the markets and profits of traders from other countries e. Many object to the idea of trading openly with a communist nation 15. Which of the following is the best explanation for the rampant corruption within the Chinese economic and political system? a. Combination of guanxi and the economic boom of the past 20 years b. Appointment of leaders through the nomenklatura system c. Absence of any viable religions in China d. Weak enforcement of laws and a weak military e. New restrictions on entrepreneurs 16. Which of the following explanations for the lack of development in a modern country is most likely based on dependency theory? a. The political and economic leaders are corrupt b. Traditional values hamper development c. The country has not enlisted the aid of a more developed country d. The country has been blocked by the greed of more developed countries e. The country has few natural resources and those that it has are poorly used 17. PPP is a statistical tool that estimates the a. Total market value of all goods and services produced in the country b. Total market value of all goods and services produced in the country divided by the population c. Amount of inequality that exists among people in the country d. Ability of people in a country to afford nonessential goods and services e. Buying power of income across different countries

11. Five Year Plans in both the Soviet Union and China emphasized a. Nationalizing industry and collectivizing agriculture b. Mass line and the ethic of struggle c. Development of the social market economy d. Decentralization of political decisions to the local level e. Increasing the amount of international trade 12. The main reason that the government of China has established Special Economic Zones over the years since 1979 is a. Establish government regulation of trade b. Stimulate foreign trade c. Encourage domestic trade d. Set up state-owned industries e. Increase agricultural production 13. Chinas trade policy change significantly after Deng Xiaoping took over in that it a. Opened trade with everyone, including capitalist nations like the U.S. b. Opened China to trade with east Asian countries but not with anyone else c. Stimulated trade within Chinas borders but not with other countries d. Encouraged trade with the Americas but discouraged trade with Europe and Africa e. Placed tariffs on Chinese products that raised prices

PRACTICE MULTIPLE CHOICE BATTERY (ECONOMIC EMPHASIS)

18. Which of the following policy initiatives has generally been supported by PAN? a. Withdrawal of Mexico from NAFTA b. Nationalization of major industries c. More autonomy for PEMEX d. Resistance to immigration reform in the United States e. Reliance on state and local governments to fight drug trafficking 19. Rapid economic growth in Mexico over the past three decades has led to the issue of a. Lack of support for NAFTA b. Increasing rates of infant mortality c. A breaking of dependency on the U.S. economy d. A growing gap between the rich and the poor e. Sophisticated plans for urban growth and transportation systems 20. Which of the following is an important advantage of U.S. corporations that locate their manufacturing plants in Mexico? a. Lower transportation costs b. Lower cost of labor c. Greater access to markets d. More pleasant climate conditions e. Greater access to raw materials 21. NAFTA has been criticized by many in the United States and Canada for a. Hurting trade with Mexico b. Leaving U.S. and Canadian workers without jobs c. Imposing pollution standards that discourage Mexican production d. Imposing unnecessary tariffs e. Requiring minimum wages that are too high for most businesses to afford 22. Which of the following is an accurate comparison of the colonial experiences of Mexico and Iran? a. Neither country was ever officially colonized by a western power b. Both countries were officially colonized by a western power c. Mexico was officially colonized, and Iran was not impacted very much by western power moves d. Mexico was officially colonized but Iran was not, but Iran was greatly impacted by western power moves e. Iran was officially colonized, but Mexico was not, since it was far away from Europe 23. Under the Pahlavis, Iran was transformed into a rentier state because of its a. Reliance on income from oil b. High level of agricultural productivity c. Renting of land to its people to use as they saw fit d. Adaptation of western-style democracy e. One-party system 24. According to the revolution of rising expectations, a factor that created the intolerable gap that sparked the Iranian Revolution of 1979 was a. The deterioration of the shahs health b. The shahs crackdown on civil liberties c. The return of the Ayatollah Khomeini to Iran d. The step drop in oil prices accompanied by a rise in consumer prices e. The threat that secularism posed to religious fundamentalism 25. Which of the following policymaking factions in Iran is most likely to support the government taking an active role in controlling the economy? a. Conservatives b. Reformists c. Statists d. Pragmatic clerics e. Free-marketers 26. Which of the following is an accurate comparison of Mexico and Nigerias south/north cleavages? a. The south in both countries is poorer than the north b. The north in both countries is poorer than the south c. The cleavage between north and south in both countries is based on religion d. In Mexico, the north is poorer than the south; in Nigeria the south is poorer than the north e. In Mexico, the south is poorer than the north, in Nigeria, the north is poorer than the south 27. Nigerias policy of revenue sharing has not functioned well primarily because a. The government lacks legitimacy b. Oil revenues have dwindled in recent years c. Local government officials undermined it d. It did not work well with the structural adjustment plans e. The United States and other western nations have objected to it

28. Like Iran, Nigeria is a a. Federalist system b. Post-modernist society c. Military dictatorship d. Rentier state e. Unitary system