GBM 381 Week 4 Quiz 1. The World Trade Organization was established by the ___________________ of multilateral trade negotiations. 1. Kennedy Round 2. Tokyo Round 3. Uruguay Round 4. Doha Round 2. The Export-Import Bank of the US assists firms in selling overseas by providing direct loans to foreign purchasers of US goods. This serves as a(n) __________________ to US firms. 1. specific subsidy 2. import subsidy 3. domestic subsidy 4. export subsidy 3. Real investment in factories, capital goods, land, and inventories where the investor retains control over the use of the invested capital is referred to as: 1. Portfolio investment 2. Direct investment 3. Indirect investment 4. Corporate investment
4. SHORT ANSWER Describe why monetary policy under a fixed exchange rate system is ineffective.
5. SHORT ANSWER What are some main differences in the missions of the WTO and the UN?
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