UNIT TEST IN THE CONTEMPORARY WORLD

Prepared by: Brillo, Bustamante, Barrios, Calucab, Doronila

Multiple Choice. Encircle the letter of the correct/best answer.

1. The following are the main factors that 7. It refers to a global system in which nations are
contribute to globalization except: economically and politically interdependent.

A. Country Size and Population A. Capitalist World Economy

B. Sovereignty B. World of Comparative Advantage
C. Availability of Resources and Markets C. Modern World System
D. Industrial Organizations D. Global Capitalist System

2. The World Trade Organization’s main function is 8. The following are reasons why International
to: Trade must occur. Which one is not?

A. gather marketing individuals & companies with A. Small Demography

the intent of conducting research and B. Surplus of natural resources
development and making sales C. Specialized Industries
B. remove or reduce restrictions or barriers on the D. Consumer tastes
free exchanges of goods between nations
C. to help producers of goods and services, 9. Which of the following talks about Economic
exporters, and importers protect and manage Globalization?
their businesses
D. to provide open lines of communication A. It means revenue and international capital will
concerning trade between its members cease to flow.
B. It is an irreversible trend for the economic
3. The Theory of Absolute Advantage states that: development of the whole world
C. The increasing interdependence of world
A. Products should be exported in which its absolute economies as a result of the growing scale of
advantage is greatest, and must be imported in cross-border trade
which its absolute advantage is comparatively less D. both B and C
B. Countries should export at a lower cost than
other nations and import a commodity that is 10. What does Trade Liberalization entail?
produced at a higher cost than other nations
C. Barriers on the free exchanges of goods between A. Tarrifs and quotas are applied on exports.
nations must be removed B. Restrictions on the free exchange of goods
D. Foreign competitors must be discriminated and between nations are removed.
only domestic producers must be patronized and
preferred. C. Domestic products are prioritized.
D. Semiperiphery and periphery nations have less
4. He is an American Sociologist known for power and wealth.
formulating the Capitalist World Economy
Theory.
11. The General Agreement on Tariffs and Trade (GATT)
and the World Trade Organization (WTO) was born out of
A. David Ricardo
what system?
B. Adam Smith
C. Immanuel Wallerstein a) Market Economic System
D. Niccolo Machiavelli b) Bretton Woods System
c) Trade Barrier System
d) Green Room System
5. Which of the following countries is considered a 12. When was the International Monetary Fund (IMF) and
Semi-periphery? the World Bank founded?
A. Chile
B. Ethiopia a) After World War I
C. Sri Lanka b) Before World War II
D. Brazil c) Post War Period
d) After World War II
6. It refers to the exchange of goods and services 13. Which of the following countries is a part of the
integrated into a huge single global market. European Union (EU)?

A. International Trade a) Germany

b) Denmark
B. Global Economy
c) Sweden
C. Trade Liberalization
d) Great Britain
D. Economic Globalization
 UNIT TEST IN THE CONTEMPORARY WORLD
Prepared by: Brillo, Bustamante, Barrios, Calucab, Doronila

Multiple Choice. Encircle the letter of the correct/best answer.

14. OPEC stands for _________. c. Authority, order, stability

d. Globalization, regionalism, authority
a) Organization of the Petroleum Expending
Countries
b) Organization for the Petroleum Exporting
Countries 22. Keck and Sikkink (1998) defines this as a
c) Organization of the Petroleum Exporting phenomenon where there is a “boomerang pattern
Countries of influence”?
d) Organization for the Petroleum Exerting Countries
a. Globalization
15. North American Free Trade Agreement (NAFTA), a b. Regionalism
trade pact between the US, Canada and Mexico, was c. International activism
created on _________.
d. Transnational activism
a) January 1, 1994
b) January 11, 1994 23. _____ are the one of the final challenges with
c) January 9, 1994 regards to global governance. This includes effective
d) January 19, 1994 implementation, as well as enforcement.
16. The unification of the ____ Empire promoted trade
a. Institutional Gaps
and economic development as early as 2000 years ago.
b. Compliance Gaps
a) Greek c. Policy Gaps
b) Roman d. Obedience Gaps
c) Egyptian
d) German 24. This gap is defined as the gap between the need for
17. The opening of the ______ significantly reduced travel international cooperation and the motivation to
times between Europe and Asia, which paved the way for undertake it.
increased trade among the continents.
a. Institutional Gap
a) Suez Canal b. Compliance Gap
b) Stockholm Canal a. Incentive Gap
c) Canals of Bruges
b. Jurisdictional Gap
d) Grand Canal
25. This means that Issues ought to be addressed at the
lowest level capable of addressing them.
18. The economic integration achieved during the 19th
century was largely unraveled in the 20th century by two
a. Subsidiarity
world wars and _________.
b. Coherence
a) The Opening of Suez Canal c. Inclusiveness, transparency, accountability
b) The Holocaust d. Responsible Sovereignty
c) The Great Depression
d) The Russian Revolution 26. Definitions of global rules and processes need to
rest on comprehensive approaches so that actions in
19. What kind of global corporation are importers and different areas will not undermine or disrupt one
exporters, typically without investment outside of their another, but instead be mutually reinforcing.
home country?
a. Subsidiarity
a) Transnational Companies b. Coherence
b) Multinational Companies
c. Inclusiveness, transparency, accountability
c) Global Companies
d. Responsible Sovereignty
d) International Companies

20. Which of the following is NOT a transnational 27. Which among the following is one of the major
company? developments of global governance in history?
a) Google
b) McDonald’s a. Creation of Public National Unions
c) Nestle b. Congress of Vienna
d) Pepsi c. Treaty of Paris
d. Siege of Yorktown
21. What are the three important aspects where
international transactions take place?

a. Order, freedom, stability

b. Order, stability, predictability
 UNIT TEST IN THE CONTEMPORARY WORLD
Prepared by: Brillo, Bustamante, Barrios, Calucab, Doronila

Multiple Choice. Encircle the letter of the correct/best answer.

28. The sum of the many ways individuals and 34. Examples of important changes of globalization which
institutions, public and private, manage their needs to be resolved to prevent state’s displacement
common affairs.
a. Electronic herd and global market pressure
a. Globalization b. Economic interdependence and free market
b. Transnational activism c. Government and economical status
c. Global governance d. All of the above
d. Regionalism
35. The following are advantages of economic integration
29. This term has been associated with political except:
authority, institutions, and, ultimately, control
a. Wider selection of goods and services not previously
a. Activism available
b. Governance b. Acquire goods and services at a lower cost after trade
c. Responsible sovereignty barriers due to lowered tariffs or removal of tariffs
d. Global governance c. National Sovereignty: Requires member countries to
give up some degree of control over key policies like
30. It capitalizes on public concerns and the trade, monetary and fiscal policies
communication of information while its methods d. Encourage more trade between member countries
of operation are its use of consumer boycotts the balance of money spend from cheaper goods and
and the creation of transborder international services, can be used to buy more products and
ties. services

a. Globalization
36. A process whereby countries cooperate with one
b. Global governance
another to reduce or eliminate barriers to the
c. Transnational activism
international flow of products, people or services
d. Inclusiveness, transparency, accountability
a. Market Integration
b. Global Interstate System
31. A type of economic service provided by countries
c. Global Economy
such as China and Vietnam
d. Economic and Political Integration
a. Cheap labor
b. Exchange of goods and service 37. Association of Southeast Asian Nations (ASEAN) is
c. Free Trade considered what level of economic integration?
d. Import and export of goods
a. Preferential Free Trade Area
b. Political Union
32. These are the three actors involved in globalization c. Common Market
except: d. Customs Union
38. Refers to the concepts of legal legitimacy actions,
a. People whereby those principles and rules for governing human
b. Vehicles beings conduct which are most universal in their
c. Companies acceptability
d. Government of different nations
a. International Law
b. Universal Principle
33. A level of economic integration which involves an
c. Moral Value
agreement between two or more countries to
d. Law
remove all trade barriers - eliminating tariffs, but
maintaining external tariffs with the rest of the
39. A type of international law that works to punish those
countries
who commit crimes of a more severe nature that often
a. Preferential Free Trade Area attack large groups of people
b. Common Market
c. Customs Union a. Supranational Law
d. Free Trade Area
b. International Criminal Law
c. Public International Law
d. Crimes Law
 UNIT TEST IN THE CONTEMPORARY WORLD
Prepared by: Brillo, Bustamante, Barrios, Calucab, Doronila

Multiple Choice. Encircle the letter of the correct/best answer.

40. A level of economic integration that involves an 46. Expresses the idea that it is impossible to think of the
agreement between two or more countries to coordinate values of freedom, equality, national independence and
their economic monetary and political systems social justice as principles valid for one country only and
limited exclusively to the national area.
a. Political Union
b. Customs Union A. Nationalism
c. Free Trade
d. Common Market B. Internationalism

C. Napoleonic Code

41. It suggests that an equal distribution of power in the D. Westphalian System

system facilitates peace and the unequal power
distributions lead to war.
A. Balance of Power Theories 47. Proclaimed the universal nature of the values
freedom, equality and fraternity.
B. Power Transition Theory
A. Internationalism
C. Hegemonic Stability Theory
D. Power Theory B. Nationalism

C. Socialist internationalism

42. It suggests that unequal power in the system produces D. Liberal internationalism
peace and that parity results in war.
A. Balance of Power Theories
B. Power Transition Theory 48. French civil code of 1804
C. Hegemonic Stability Theory
A. Napoleonic code
D. Power Theory
B. Concert of Europe
43. It suggests that differential rates of economic growth C. Westphalian System
create situations in which rising states rapidly catch up
with the hegemonic state in the system, and that this D. West Code
change in relative power leads to war.

A. Balance of Power Theories

49. In 1988, it suggested that economic expansions tend
B. Power Transition Theory
to increase the severity of great power wars but that
C. Hegemonic Stability Theory
economic cycles have on effect on the frequency of
D. Power Theory
power.

A. Goldstein’s Research
44. In realist theories, the distribution of _________ in the
interstate system is the main determinant of the B. Warlock’s Research
frequency of war.
C. Reed’s Research
A. Power
D. Jock’s Research
B. Position
C. Money
50. Established set of principles, rules and practices that
D. Products
helped to maintain balance between the major powers
after the Napoleonic Wars, and spare Europe from
another broad conflict.
45. It is also called state sovereignty
A. Concert of Europe A. Concert of Europe

B. Westphalian System B. Napoleonic Code

C. Napoleonic Code C. Nationalism

D. Socialist Internationalism D. Internationalism
 UNIT TEST IN THE CONTEMPORARY WORLD
Prepared by: Brillo, Bustamante, Barrios, Calucab, Doronila

Multiple Choice. Encircle the letter of the correct/best answer.