Weekly Review Quiz As of 2008-08-14 s1

Weekly Review Quiz as of 2009-01-08
Economics: Micro

Europeans Raise Pressure on Detroit
by Kate Linbaugh
01/05/2009
http://online.wsj.com/article/SB123110372170452019.html

1. Recognizing Detroit’s weakness, Volkswagen AG and BMW AG plan to

* a) expand market share in the U.S. over the next few years.
b) partially retreat from the U.S. market over the next few years.
c) hold U.S. sales constant over the next few years.
d) acquire Chrysler and GM.
e) substantially raise prices in the U.S. market.

Read This Before You Remodel
by David Crook
01/06/2009
http://online.wsj.com/article/SB123120680932356151.html

2. Home renovations

* a) like new cars are poor investments.
b) unlike new cars are poor investments.
c) like new cars are great investments.
d) unlike new cars are great investments.
e) with the exception of kitchen remodeling are poor investments.

Japanese Firms, Flush with Cash, Step Up Deals
by Yuka Hayashi
01/06/2009
http://online.wsj.com/article/SB123120506442956011.html

3. Japan’s cash-rich trading companies are looking for bargain acquisitions outside Japan, seizing the opportunity to expand abroad while

a) the Yen is strong.
b) potential competitors are cash strapped.
c) shipping costs are low.
* d) the Yen is strong and potential competitors are cash strapped.
e) potential competitors are cash strapped and shipping costs are low.

The Trials of the Auto Dealer
by Kate Linebaugh
01/03/2009
http://online.wsj.com/article/SB122969965719421799.html

4. U.S. automobile dealers are not doing well in part because

a) there are so many of them.
b) rising unemployment and a widespread public mood of hunkering down and spending less has cut demand for autos.
c) a reduction in the supply of mechanics has led to decreased service profits.
* d) there are so many of them, and rising unemployment and a widespread public mood of hunkering down and spending less has cut demand for autos.
e) rising unemployment and a widespread public mood of hunkering down and spending less has cut demand for autos, and a reduction in the supply of mechanics has led to decreased service profits.

Russia Firm Cuts Gas to Ukraine, but EU Hit is Cushioned
by Andrew Osborn
01/02/2009
http://online.wsj.com/article/SB123080339916446769.html

5. Russia switched off natural gas to Ukraine on January 1 because

* a) talks on a new supply contract for 2009 ended in failure.
b) the country no longer has supplies to send through Ukraine to Europe.
c) natural gas prices have plummeted.
d) escalating hostilities in the Balkans have increased shipment risks.
e) despite good relations between Russia and Ukraine, political leaders in the two countries cannot agree on pipeline employment issues.