Which of the following best describes global economic trends in the early 1990s?

• A. Many countries shifted toward market-oriented reforms and increased economic globalization.
• B. There was a significant decline in technological innovation worldwide.
• C. Global economies experienced widespread nationalization of industries.
• D. Most nations adopted strict protectionist policies and reduced international trade.

Answer: (A)

Verified step by step guidance

1. Step 1: Understand the context of the early 1990s in global economics, focusing on major shifts in economic policies and international relations after the Cold War.
2. Step 2: Recall that during this period, many countries moved away from centrally planned economies toward market-oriented reforms, embracing privatization and deregulation.
3. Step 3: Recognize that economic globalization increased significantly, characterized by expanded international trade, investment flows, and cooperation through institutions like the World Trade Organization (WTO).
4. Step 4: Contrast this with the incorrect options: technological innovation did not decline; rather, it accelerated. Nationalization was not widespread; instead, privatization was common. Protectionist policies generally decreased as countries sought to integrate into the global economy.
5. Step 5: Conclude that the best description of global economic trends in the early 1990s is the shift toward market-oriented reforms and increased economic globalization.