- CFA Exams
- CFA Level I Exam
- Topic 2. Economics
- Learning Module 5. Introduction to Geopolitics
- Subject 2. Forces of Globalization
CFA Practice Question
Which of the following is least likely a motivation for globalization by non-state actors?
A. Intrinsic gain
B. Currency exchange
C. Access to resources and markets
Explanation:
Currency exchange is a characteristic of globalization but not necessarily a motivation for globalization by non-state actors.
A: Intrinsic gain is a motivation for globalization by non-state actors. It is a side effect of an activity that generates a benefit beyond profit itself, e.g., accelerated productivity from learning new methods. Other motivations include increasing profits and access to resources and markets.
C: Access to resources and markets such as talent and raw materials is a motivation for globalization by non-actors. Non-actors may also globalize to access market and investment opportunities.
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