Dreher (2006) Measures Globalization on Three Dimensions: Economic, Social and Political

question 8

Multiple Choice

Dreher (2006) measures globalization on three dimensions: economic, social and political. The economic integration dimension would capture:

• A) The extent to which the government restricts trade and investment flows
• B) The extent to which the economy is recession prone
• C) The extent to which the country's economic policies are internally consistent
• D) The extent to which economic benefits are equitably shared in society

Analyze how changes in the market influence consumer behavior and producer responses.

Comprehend how external factors such as news reports, and changes in consumer income or prices of related goods can influence market dynamics.

Apply the concept of market demand to real-world examples.

Distinguish between competitive markets and how market power affects price and quantity.

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Definitions:

Public Goods

Goods that are non-excludable and non-rivalrous, meaning they are accessible to all and one person's use does not diminish another's.

Nonexcludable

Describes a good or service for which it is not possible to prevent people who have not paid from consuming or using it, such as public parks or street lighting.

Efficiency

The optimal allocation of resources to maximize the desired outputs while minimizing waste or unnecessary effort.

Nationally Franchised

Businesses that operate under a licensing agreement allowing them to sell products or services under a national company's brand and operational model.