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

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

Question 1

Which statements concerning property rights are true? (Choose TWO.)

A. Property rights are the legal rights regarding the use of an economic resource and for deriving income and benefits from it.
B. Securing property rights results in industries that employ little fixed capital and avoid long-term investment.
C. Developing countries can achieve economic growth even without securing property rights.
D. Protection of property rights is commonly recognized as a major factor in allowing developing countries to make gains toward economic progress.
E. Insecure property rights bode well in global competition where firms benefit from economies of scale and sustained R & D.
F. The primary purpose of establishing property rights is to provide economic benefit to society as a whole.

Question 2

What is true about tariffs?

A. They allow the government to raise revenue
B. They increase consumer surplus
C. They lower domestic prices below world prices
D. They eliminate deadweight loss

Question 3

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

A. There is high industry pressure to globalize, and competitive assets are transferable abroad.
B. There is low industry pressure to globalize, and competitive assets are customized to home markets.
C. There is low industry pressure to globalize, and competitive assets are transferable abroad.
D. There is high industry pressure to globalize, and competitive assets are customized to home markets.

Question 4

Which statement about Federal Reserve lending to banks is true?

A. Banks pay the discount rate when borrowing funds from the Fed.
B. Banks set consumer interest rates at the discount rate.
C. Fed lending to banks follows an overall uptrend.
D. The discount rate is changed annually.

Question 5

What is true about forward transactions?

A. They convert one currency into another at one time with an agreement to revert it back at another time in the future.
B. They allow traders to sell currency holdings at an exchange rate in the past.
C. They are the classic single-shot exchange of one currency for another.
D. They allow participants to buy and sell currencies now for future delivery.

Solutions: