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

SectionWeightObjectives
Global Finance and Monetary Systems25%- Foreign Exchange Markets
  • 1. Exchange rate determination, currency regimes
  • 2. Hedging and risk management
- Balance of Payments and International Monetary System
  • 1. Current account, capital account, official reserves
  • 2. Fixed vs floating exchange rates, IMF, World Bank
International Trade Theory and Policy25%- Trade Policies and Barriers
  • 1. Tariffs, quotas, subsidies, embargoes
  • 2. Economic integration: EU, USMCA, ASEAN
- Classical and Modern Trade Theories
  • 1. Heckscher-Ohlin, Product life-cycle, Strategic trade theory
  • 2. Absolute advantage, Comparative advantage
Foreign Direct Investment and Global Strategy20%- Global Business Strategy
  • 1. Strategic positions: Defender, Extender, Contender, Dodger
  • 2. Porter's Diamond model
- Foreign Direct Investment (FDI)
  • 1. Location advantages and entry modes
  • 2. Theories of FDI, costs and benefits
Foundations of Global Economics20%- Views on Globalization
  • 1. New view, Evolutionary view, Pendulum view
  • 2. Drivers and consequences of globalization
- Economic Systems and Institutions
  • 1. Market, command, and mixed economies
  • 2. Political, legal, and cultural frameworks
Macroeconomics for Managers10%- Economic Indicators and Policies
  • 1. GDP, inflation, unemployment, business cycles
  • 2. Fiscal and monetary policy impacts

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

1. What is a key feature of an oligopoly?

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


2. Institutions exist to reduce uncertainty. An institutional framework is made up of two types of systems.
What are the systems? (Choose TWO.)

A) Informal
B) Personal
C) Cognitive
D) Formal
E) Firm
F) Normative


3. A shopper purchases a shirt for $17 but was willing to pay $25. What does this indicate?

A) The consumer surplus is $25.
B) The producer surplus is $17.
C) The consumer surplus is $8.
D) The producer surplus is $25.


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

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


5. In a monopoly, which statements are likely true? (Choose TWO.)

A) There are barriers to entry into the market
B) Entry is free in the long run
C) Marginal revenue equals price
D) Firms are price takers
E) One seller offers a unique good with no close substitutes


Solutions:

Question # 1
Answer: A
Question # 2
Answer: A,D
Question # 3
Answer: C
Question # 4
Answer: D
Question # 5
Answer: A,E

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