[Skip Breadcrumb Navigation]

Student Resources

Chapter 9: Money and Business

Critical Thinking Questions

Critical Thinking Questions

This activity contains 5 questions.

Find a recent newspaper article about a change in currency exchange rates (usually located in the business section). Analyze the various influences that may have been at work in the change of currency values—monetary policies, the underlying state of national economies, the actions of central banks (separately or in coordination), and factors such as political uncertainty that affect investors' confidence in a currency.

To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

In the late 1990s, serious financial problems emerged in Asian economies such as Japan, South Korea, and Indonesia, while the U.S. economic position was strengthening. Given both competition and interdependence in U.S.-Asian trade, was the 1997 Asian financial crisis good or bad for the United States? Why?

To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

Many scholars and politicians alike think private international investment is the best hope for the economies of Russia and Eastern Europe. Given the current economic and political disarray in that region, what kinds of investors from the industrialized West might be willing to invest there? What actions could the governments of Western states take to encourage such investment? What pitfalls would the governments and investors have to watch out for?

To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

If you were representing an MNC such as Toyota in negotiations over building an automobile factory in a foreign country, what kinds of concessions would you ask the host government for? What would you offer as incentives? In your report to Toyota's top management regarding the deal, what points would you emphasize as most important? If instead you were representing the host state in the negotiations and reporting to top state leaders, what would be your negotiating goals and the focus of your report?

To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

Suppose that the head of Dow Chemical had his way and established Dow's world headquarters on an island outside all state territory. How do you think such a location would change Dow's strategies or business operations? What problems might it create for Dow?

To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.

The Submit Answers for Grading feature requires scripting to function. Your browser either does not support scripting or you have turned scripting off.

So, the Submit Answers for Grading button below will not work.

The following Submit Answers for Grading button is provided in its place and will clear your answers:
The Clear Answers and Start Over feature requires scripting to function. Your browser either does not support scripting or you have turned scripting off.

So, the Clear Answers and Start Over button below will not work.

The following Clear Answers button is provided in its place and will clear your answers:

Pearson

[Return to the Top of this Page]