Question 1 Capitalistic competition Capitalistic competition is where businesses offer products at the lowest prices the market will bear. This leads to them selling identical commodities at the lowest price which is similar to the law of one price. Question 2 The WTO was encouraged to extend its reach to encompass regulations governing foreign direct investment, unlike GATT. WTO has a wider scope in that its rules also apply to intellectual property along with goods. Question 3 Promote economic development The world bank was developed to help countries in need of financial support to fund post war reconstruction efforts thus promoting their growth. Question 4 English It is spoken by around 15% of the total population followed by Mandarin Chinese. Question 5 Theocracy Theocracy promotes privatization in that provision of evidence means that a person is entitle to a property thus promoting privatization. Question 6 True Custom unions remove tariffs between non members and impose common tariffs to non members. Question 8 No model can provide a single complete understanding of culture. To have a complete understanding of culture, you’ll have to perform a complete study of human cultures which is not possible because there is a broad variety of cultures. Question 9 Global ethical goals. These were goals created by the UN to ensure improvements in areas including education, clean water and sanitization, gender equality, economic growth among others. Question 10 Currency exchange. Currency exchange occurs when someone exchanges one currency with another, which can be done at an airport among other places. Question 11 Insourcing. This is a practice where a company will produce the products inhouse instead of outsourcing. It is important for a company to do so especially in this context to ensure they produce high quality goods, they maintain local standards and they do the production and delivery on time because of the perishable nature of the product. Question 12 Offshore-outsourcing. This occurs when a company or country hires a producer who is in another nation to produce their products. This means that their productions are produced offshore and by another producer. Question 13 Offshoring. This is a practice where a company moves some of its operations from one country to another. Companies do this to take advantages of reduced production costs in the other country, while still maintaining control since the company there is its branch. Question 14 Offshore-outsourcing. This method is cost effective and often involves relocating office jobs abroad to countries where labor costs are low and the company will be able to make savings. In this model, a company has remote staff that perform some of its functions.
