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

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

1. What is the bandwagon effect?

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

2. What is a key feature of an oligopoly?

A) There is tension between cooperation and self-interest.
B) The actions of any one seller in the market have little to no impact on the profits of all the other sellers.
C) Firms in an oligopoly are independent of one another, much like competitive firms.
D) There is little, if any, motivation for cooperation between firms.

3. What is an example of goods that tend to have negative cross-price elasticities?

A) Luxury goods
B) Complements
C) Inferior goods
D) Substitutes

4. What is one benefit of small-scale entries into foreign markets?

A) They present easy opportunities to build market share.
B) They give complete equity and operational control.
C) They focus on learning by doing while limiting the downside risk.
D) They demonstrate a strategic commitment to certain markets.

5. What is the most basic way for nonfinancial companies to adjust to fluctuations of the foreign exchange market?

A) Forward transactions
B) Currency hedging
C) Rate locks
D) Invoicing customers in the company's currency

Solutions: