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

1. What is one of the four strategic goals of firms looking for potential locations?

A) Competition-seeking
B) Market-seeking
C) Scale-seeking
D) Profit-seeking

2. What is the bandwagon effect?

A) The movement of investors in the same direction at the same time
B) Investors moving independently based on private information
C) Government intervention to stabilize markets
D) The tendency of prices to return to equilibrium

3. What is true about producer surplus?

A) It equals total revenue
B) It measures the well-being of consumers
C) It measures social welfare
D) It is used to measure the well-being of sellers

4. Which strategy for responding to multinational enterprises is appropriate in a situation in which there is low industry pressure to globalize and competitive assets are customized to home markets?

A) Retainer strategy
B) Contender strategy
C) Responder strategy
D) Defender strategy

5. When supply increases and demand stays the same, what happens to the equilibrium point of price and quantity?

A) Quantity increases
B) Price remains the same
C) Price increases
D) Quantity decreases

Solutions: