GPSP meest voorkomende oude tentamens vragen en antwoorden
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Course
Governance and Politics of Social Problems
Institution
Vrije Universiteit Amsterdam (VU)
Book
Comparative European Politics
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Wahhab Hassoo
GPE Exam questions & answers
1. Fill in the blanks the following sentence: ……………. Theory views capitalism primarily as
…………….
a. Modern World System: as divided into a core-semi-periphery, and periphery
b. Structuralist: a zero-sum battle for national wealth and power
c. Keynesian: as a system in which the price mechanism maximizes efficiency and
economic growth.
d. Neo-Gramscian theory: a system of exploitation of the South by the North through
colonialism.
2. The United States has a comparative advantage over the European Union in the production
of commercial aircraft if
a. The production of airplanes in the US requires sacrifice of other goods than would
similar airplane production in the EU.
b. The US can produce more airplanes than the EU.
c. The US has an abundance of natural resources that are critical in the production of
airplanes.
d. The US market for airplanes is larger than the EU market.
3. Fill in the blanks in the following sentence: according to Balaam and Dilmann one major
contradiction in the raise of China is that it benefits from ……… yet…….?
a. Globalization: pursues a mercantilist-nationalist ideology.
b. Global capitalism: still seeks to export communist ideology.
c. The free trade regime of the WTO: does not want to become member of the WTO or
similar global institutions.
d. The US export market closes off its own market for US Foreign Direct Investment
4. The free trade worked to the advantage of already wealthy and powerful nations and
therefore had to be rejected by those wanting to catch-up in an argument associated with
the thinking of?
a. Friedrich List
b. David Ricardo
c. Deng Xiaoping
d. Karl Marc
5. Foreign Direct Investment is
a. The investment by MNC’s within other countries than where they have their
headquarters, either buying up foreign firms or setting up new plants or branches
in foreign countries.
b. The investment by financial institutions in bonds, stocks, and other financial assets in
other countries
c. The investment by TNC’s in the debt of other countries and paid directly in the
currency of that country.
d. The lending of central banks to foreign governments
6. Which of the following best describes India’s path in term of its development (strategy) since
independence?
a. It has shifted from an import-substitution industrialization to a period of neoliberal
market reforms in which it has found a niche in the global service sector.
b. After the Indian community party lost power in the early 1990s it has abandoned
central planning and adopted market socialism instead
, Wahhab Hassoo
c. Following an era of socialist economic policies in the first decades after gaining
independence economic shock therapy, reinforced by IMF-imposed structural
adjustments, has led to unequal economic growth dependent upon selling services
such as call centres to the advances capitalist countries.
d. It has shifted from an import-substitution industrialization to a mercantilist export-
oriented growth strategy focusing on the export of consumer goods in line with the
earlier so-called Asian Tigers.
7. Because of globalization of production and finance TNC’s have an exit option, i.e., it is
relatively easy for them to move their production or headquarters to another country. This
exit option is said to lead to
a. Regulatory arbitrage
b. Import-substitution.
c. Strategic trade policies
d. Intra-firm trade
8. The heterodox liberal perspective within IPE emphasizes:
a. That the state needs to intervene in important ways to preserve the competitive
market and make it work effectively for the majority of people.
b. The pursuit of self-interest as a source of national wealth and economic growth
c. The need to an alternative to capitalism to create a truly free and prosperous society
rather than the shallow freedom of the market.
9. To solve the ‘’paradox of thrift’’ that Keynes first identified during the Great Depression,
which of the following policies would be in line with a Keynesian solution?
a. Cutting the central interest rate and reducing taxes
b. Increasing government expenditure and raising the central interest rate
c. Balancing the budget through spending cuts
d. Investing in public infrastructure to be paid by higher taxes and the promotion of
exports.
10. Orthodox liberals view intellectual property right (IPRs) as:
a. Necessary for the functioning of the market system, because IPRs incentivize the
efficient use of the resources and establish a direct link between effort and
reward.
b. Crucial for protection of domestic firms, but not always appropriate when applied to
foreign countries.
c. Key for the US and other developed nations to promote their own economic
dominance.
d. A bad practice within the international political economy, which distorts markets,
undermines competition and reduces innovation.
11. To have the market adjust through lower wages would be a response to an economic
depression fitting with which perspective?
a. Orthodox economic liberalism
b. Neo-mercantilism
c. Keynsianism
d. Strategic Trade Theory
12. Which of the following is correct?
a. Neoliberalism is a set of policy ideas inspired by orthodox liberalism that
increasingly became dominant from the 1980s.
b. Neoliberalism is an IR theory applied to IPE that argues that states are locked in a
zero-sum struggle for power and wealth within a global free market economy.
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