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Economics

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Natalia Roberts

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What kind of loans does the World Bank make

The world bank lends money to memeber nation so that they could be carry out the work of public importance and usefulness.

How can a country respond to a trade embargo

By seeking other trading partners

it could pursue a policy of national self-sufficiency

How does the IMF use its loans to attempt to control and fix the economies of countries that need its help

By imposing conditionality

What does the international banking system consist of

A decentralized set of central and private banks

What is discretionary spending within a budget

Money that can be used for any purpose

How are credit unions different from banks

Credit unions are nonprofit financial institutions.

Technically, you're answer is incorrect. Credit unions are not-for-profit, member owned, financial cooperatives. They are NOT the Salvation Army, the Red Cross, or Goodwill, which are nonprofit organizations. Credit Unions must earn money to cover overhead & operations, provide returns to their members and build capital. Since they are cooperatives, they issue no stock (which banks do to raise capital to expand branchs and offer additional services) and the only way credit unions can build capital is through earnings.

People who lease a car are paying for what

The reduction in the car's value while they're driving it

What pair of words best describes the purpose of using cost benefit analysis

To make decisions that maximize benefits.

Rational and Subjective.

Objective and systematic

pleasure (benefit) and pain (cost)

calculating and coherent

Rational and structured =making a list of costs and benefits

The process of globalization involves an increase in what

The mobility of goods, services, labor, and capital

What is the main difference between developed countries and developing countries

The income level and standard of living

Which of these has occurred during the most recent period of globalization

The income gap between rich and poor countries has widened.

How do developed countries maintain an advantage over developing countries in international trade

They maintain high tariffs on the agricultural goods that many developing countries export.

How might a country respond to a trade embargo

It could pursue a policy of national self-sufficiency.

When might a country specialize in producing a particular good

When a country has an absolute advantage in production of that good it may specialize in producing that good.

What is happening in the information technology sector of the global economy

Many information technology jobs are shifting from developed countries to the new globalizers.

The World Bank loans developing countries money in order to do what

The World Bank loans developing countries money in order to improve conditions in the country. It can be used for various purposes, including education, job development, and infrastructure.

Banks pay their costumers interest on the money in their accounts for what reason

Banks pay their consumers interest on their money in their accounts because, the same money is what the bank use to lend loans to other customers. As they are going to earn an income through the interest they charge the loan customers, banks give a portion of that interest as interest for the customers who have deposited their money with them.

What can you do in addition to cutting all unnessary expenses to make sure your expenses don't exceed your income

Increase your income!

Why don't developing countries usally benefit from free trade policies

Many developing countries do not benefit from free trade policies, because their industries are to weak to compete in the international market.

How does globalization hurt the United States economy

by bringing wage reductions

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