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Bush School Entrance Exam 2025:
Comprehensive Study Guide with Practice
Tests, Application Tips, and Expert Strategies
for Top Admission Results
- Describe the basic principles of trade and finance established by Bretton Woods: a) To promote mercantilist policies and protect national industries after World War II. b) To establish a fixed exchange rate system based on gold and create institutions for international economic cooperation. c) To encourage independent monetary policies for each nation and limit international trade agreements. d) To solely focus on providing long-term loans for post-war reconstruction. Correct Answer: b) To establish a fixed exchange rate system based on gold and create institutions for international economic cooperation. Rationale: The Bretton Woods system, established in 1944, aimed to create a stable post-WWII international economic order by preventing the beggar-thy-neighbor policies of the past. Its core principles included a fixed exchange rate system pegged to the US dollar, which was convertible to gold, and the creation of the International Monetary Fund (IMF) for balance of payments issues and the General Agreement on Tariffs and Trade (GATT) as a forum for trade liberalization.
- What is the IMF and what does it do? a) An organization that provides long-term loans to developing countries for infrastructure projects. b) An organization of 188 countries that sets global trade rules and resolves trade disputes. c) An organization of 188 countries to foster monetary cooperation, secure financial stability, facilitate trade, and promote sustainable economic growth; it manages exchange rates and international payments. d) A forum for multilateral trade agreements aimed at reducing tariffs and quotas.
Correct Answer: c) An organization of 188 countries to foster monetary cooperation, secure financial stability, facilitate trade, and promote sustainable economic growth; it manages exchange rates and international payments. Rationale: The International Monetary Fund (IMF) is indeed an organization with a broad mandate encompassing monetary cooperation, financial stability, trade facilitation, and sustainable economic growth. A key function is the management of exchange rates and the system of international payments to ensure smooth financial transactions between countries.
- What is the World Bank and what did/do it do? a) It is the central bank for all member countries, controlling global monetary policy. b) It is primarily a forum for negotiating reductions in tariffs and other trade barriers. c) The World Bank offers long-term loans and advice to countries who need help, with the goals of ending extreme poverty and promoting shared prosperity. d) It was the original system for managing fixed exchange rates after World War II. Correct Answer: c) The World Bank offers long-term loans and advice to countries who need help, with the goals of ending extreme poverty and promoting shared prosperity. Rationale: The World Bank's main function is to provide financial and technical assistance to developing countries for long-term development projects and policy reforms. Its overarching goals are to reduce extreme poverty and promote shared prosperity globally.
- What is the GATT and what did/does it do? a) It is the current global organization that governs the vast majority of world trade and resolves trade disputes. b) The General Agreement on Trade & Tariffs was a set of multilateral trade agreements to abolish quotas and reduce tariff duties. It was replaced by the World Trade Organization (WTO) in 1995 to establish a code of conduct governing a large portion of world trade – trade without discrimination. c) It is a set of economic policy prescriptions promoted by Washington-based institutions for developing countries in crisis. d) It is the system that allowed countries to peg their currencies to gold after World War II. Correct Answer: b) The General Agreement on Trade & Tariffs was a set of multilateral trade agreements to abolish quotas and reduce tariff duties. It was replaced by the
c) The WTO was created in 1995 as an organization for trade opening and a forum for governments to negotiate agreements/settle disputes. Globalization is the increasing interconnectedness across borders as tech has enhanced info sharing and lowered trade barriers. The creation of the WTO, with its aim to further reduce trade barriers and establish rules for international trade, significantly deepened this interconnectedness, a key aspect of globalization. d) The WTO was created in 1986 with the start of the Uruguay Round and had no significant impact on globalization. Correct Answer: c) The WTO was created in 1995 as an organization for trade opening and a forum for governments to negotiate agreements/settle disputes. Globalization is the increasing interconnectedness across borders as tech has enhanced info sharing and lowered trade barriers. The creation of the WTO, with its aim to further reduce trade barriers and establish rules for international trade, significantly deepened this interconnectedness, a key aspect of globalization. Rationale: The WTO was established in 1995, building upon the foundation of the GATT. Its creation provided a stronger institutional framework for trade liberalization and dispute settlement, further reducing barriers to international trade. Globalization, characterized by increasing cross-border interconnectedness driven by technological advancements and reduced trade barriers, was significantly facilitated and deepened by the establishment and functioning of the WTO.
- What is/was the Washington Consensus on international economic issues and development strategy? a) The agreement reached at Bretton Woods in Washington D.C. to establish the IMF and World Bank. b) A set of strict regulations imposed by the WTO on member countries to ensure fair trade practices. c) A set of 10 economic policy prescriptions considered to constitute the 'standard' reform package promoted for crisis-wracked developing countries by DC-based institutions like the IMF, World Bank & US Treasury. d) The consensus among major world powers in Washington D.C. to return to a fixed exchange rate system in the 1980s. Correct Answer: c) A set of 10 economic policy prescriptions considered to constitute the 'standard' reform package promoted for crisis-wracked developing countries by DC- based institutions like the IMF, World Bank & US Treasury. Rationale: The Washington Consensus refers to a specific set of market-oriented economic policies that were commonly recommended by institutions based in
Washington D.C., such as the IMF, World Bank, and the US Treasury, to developing countries facing economic crises. These policies typically included fiscal discipline, privatization, deregulation, and trade liberalization. What are 10 recommendations of the Washington Consensus? - - correct ans- - 1. fiscal policy discipline, with avoidance to large fiscal deficits relative to GDP
- redirection of public spending from subsidies toward broad-based provision of key pro-growth, pro-poor services like primary education, primary health care and infrastructure investment
- tax reform, broadening the tax base and adopting moderate marginal tax rates
- interest rates that are market determined and positive in real terms
- competitive exchange rates
- trade liberalization: liberalization of imports, with particular emphasis on elimination of quantitative restrictions any trade protection to be provided by low and relatively uniform tariffs
- liberalization of inward foreign direct investment
- privatization of state enterprises
- deregulation: abolition of regulations that impede market entry or restrict competition, except for those justified on safety, environmental and consumer protection grounds, and prudential oversight of financial institutions
- legal security for property rights What is the Beijing Consensus on those same issues, and how does it differ from the Washington Consensus? Why is this sometimes called "neo-mercantilism"? - - correct ans- - Beijing Consensus- political and economic policies of the China that was instituted by Deng Xiaoping after Mao's 1976 death
- replacing trust in the free market for economic growth with a 'more muscular state hand on the levers of capitalism'
- an absence of political liberalization
- strong leading role of ruling political party
- population control
Security Council = UNSC: primary responsibility for the maintenance of international peace and security. Has 15 members and each has one vote; 5 permanent members are China, France, Russia, the UK and US; 10 non-permanents are elected for two-year terms by the General Assembly. All member states are obligated to comply with council decisions Economic and Social Council (ECOSOC): works to advance the three dimensions of sustainable development; economic, social and environmental. Responsible for the follow-up to major UN conferences and summits International Court of Justice- role is to settle legal disputes submitted by states, and give advisory opinions on legal questions referred to it by authorized UN organs. Composed of 15 judges who are elected by 9 years by the General Assembly and Security Council Secretariat- organized along departmental lines, with each department or office having a distinct area of action and responsibility; sitting Secretary General is António Guterres of Portugal What are some UN sub-organizations? - - correct ans- - World Health Organization (WHO): direction/coordinating authority on international health UN Human Rights Council (UNHCR): an inter-governmental body within the UN system made of 47 states responsible for the promotion and protection of all human rights around the globe UNICEF: works in over 190 countries and territories to save children's lives/defend their rights/help them fulfill potential There are numerous human rights treaties that have promulgated under the UN system, starting with the Universal Declaration of Human Rights, and including treaties/covenants on civil and political rights, economic and social rights. Describe the primary issue area of the 9 major human rights treaties. - - correct ans- - Universal
Declaration of Human Rights- declaration was proclaimed by the UN General Assembly in Paris Dec 10th 1948; they are 30 articles to be universally protected ICERD/International Convention on the Elimination of All Forms of Racial Discrimination- 88 signatories est. 1969, composed of 25 articles. Commits its members to the elimination of racial discrimination and the promotion of understanding among all races. The convention also requires its parties to outlaw hate speech and criminalize membership in racist organizations. Under Article 14. ICCPR/International Covenant on Civil and Political Rights- 74 signatories, est. 1976, commits its parties to respect the civil and political rights as individuals including right to life, freedom of religion, freedom of speech, freedom of assembly, electoral rights and rights to due process/fair trial. Composed of 53 articles and is under Article 49 ICESCR/International Covenant on Economic, Social and Cultural Rights- 71 signatories, est. 1976, composed of 31 articles. Work toward the granting of economic, social and cultural rights to the non-self-governing and Trust Territories and individuals, including labor rights and the right to health, the right to education and the right to an adequate standard of living CEDAW/Convention on the Elimination of all Forms of Discrimination Against Women- 99 signatories; effective 1981 and composed of 30 articles. Provides the basis for realizing equality between women and men through ensuring women's equal access to and equal opportunities in, political and public life. It is the only treaty that affirms reproductive rights of women CAT/UN Convention against Terrorism- 83 signatories, est. 1987 and composed of 33 articles. Requires states to take effective measures to prevent torture in any territory under their jurisdiction, What is the concept of reservation with regard to UN human rights treaties? - - correct ans- - reservations are made by states upon the ratification of international treaties; states declare under which conditions they consider themselves to be bound by a treaty
The International Criminal Court (ICC) investigates and tries individuals charged with the gravest crimes of concern to the international community: genocide, war crimes, crimes against humanity and crimes of aggression; the US is not a member in fear of being charged There are numerous actors in international affairs: what are IGOs, NGOs, and MNEs? What is a "transnational" organization? If we were to ask you which category the ICRC fell under, what would you say? If we were to ask you which category the IOM (International Organization for Migration) fell under, what would you say? - - correct ans-
- IGO/Intergovernmental Organization- composed primarily of sovereign states or of other IGOs. Est by treaty or other agreement that acts as a charter by creating the group (ex. UN, World Bank, EU) NGO/Non Governmental Organization- operates independently independently of any government typically one whose purpose is to address a social or political issue (ex. Save the Children and Red Cross) MNE/Multinational Enterprise- produces goods or delivering services in more than one country Transnational Organization- works across nation states What is the international anarchy and how does that relate to the 'security dilemma' face by states, in two sentences? - - correct ans- - it is the absence of a global order/power that presides over international politics and relates to the 'security dilemma' because states will vye for security, which in turn spurs other states to do the same *anarchy feeds the security dilemma What is the difference between a nation and a state, in two sentences? - - correct ans- - nation- formed on the basis of a common language, territory, history, ethnicity or psychological make-up manifested in a common culture
state- a political organization within a given territory, maintains a monopoly on the use of force What is the difference between separatism and irredentism? Can you name at least two conflicts that would fall under each category? - - correct ans- - separatism- the advocacy or practice of separation of a certain group of people from a larger body on the basis of ethnicity, religion or gender (Catalonia, Quebec) irredentism- political or popular movement process by which a part of an existing state breaks away and merges with another (Taiwan on the part of China and Kashmir on the part of India/Pakistan) What do the terms power, sovereignty, national interest, and hegemony mean? - - correct ans- - power- means by which a state or other actor wields or can assert actual or potential influence or coercion relative to other states and non state actors because of the political, geographic, economic, technological, military, social, cultural, or other capabilities it possesses; can come in forms of hard, soft and smart sovereignty- full right and power of a governing body over itself, without any interference from outside sources or bodies national interest- what a nation feels to be necessary to its security and well being, reflecting the general and continuing ends for which a nation acts hegemony- political, economic or military predominance or control of one state over others What does balance of power mean, and how does it relate to conflict? - - correct ans- - can be seen as the perpetrator of conflict because the theory states that states will fight to secure their survival be trying to quash the power of others; cycle of conflict driven by balance of power
Four Tigers: highly developed economies of Hong Kong, Singapore, South Korea and Taiwan, which underwent rapid industrialization and maintained exceptionally high growth rates between the early 1960s and 1990s nationalization: transfer of a major branch of industry or commerce from private to state ownership or control privatization: transfer of a business, industry, or service from public to private ownership and control comparative advantage: lower opportunity cost microfinance: financial services targeted at individuals and small businesses who lack access to conventional banking and related services (ex. small loans) FDI/foreign direct investment: investment in the form of a controlling ownership in a business in one country by an entity based in another country, distinguished from a foreign portfolio investment by a notion of direct control How is the poverty rate for nations defined? Which five countries have the highest poverty rate? - - correct ans- - the rate is defined by the population lived at or below $1.90 a day (UN extreme poverty)
- India
- Nigeria
- Democratic Republic of the Congo
- Ethiopia
- Bangladesh
The US accounts for roughly what share of world exports? Of imports? US exports of goods and services represent roughly what percentage of US GDP? - - correct ans- - US accounts for 10.33% of world exports and 17% of world imports US exports of goods and services are 12.22% What is a collective security treaty organization, and can you name two in which the US participates? - - correct ans- - collective security organizations- system by which states have attempted to prevent or stop wars; under a collective security arrangement, an aggressor against any one state is considered an aggressor against all other states, which act together to repeal the aggressor; concept of collective defence ex: NATO/North Atlantic Treaty Organization League of Nations (and subsequently the UN) What is a free trade agreement, and can you name two in which the US participates? - - correct ans- - region encompassing a trade bloc whose member countries have signed a free trade agreement. Such agreements involve cooperation between at least two countries to reduce trade barriers, import quotas and tariffs, and to increase trade of goods or services with each other NAFTA CAFTA- US and Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, as well as the DR TPP- Trans Pacific Partnership (didn't come to fruition) What is the difference between national debt, budget deficit, and a trade deficit? What is meant by the term 'balance of payments'? - - correct ans- - national debt- accumulation of deficit, deficits occur when the total of a government's purchases of goods and services, transfers in grants to individuals and corporations and its net interest payments exceed tax revenues budget deficit- spending > earning
Russia? China? Japan? Canada? Nigeria? India? Brazil? Germany? - - correct ans- - 1. China = 1.4 billion
- India = 1.35 billion
- EU = 446 million
- US = 328 million
- Brazil = 209.5 million
- Nigeria = 195.5 million
- Russia = 146 million
- Mexico = 126.2 million
- Japan = 126.5 million
- Germany = 83 million
- Canada = 37.5 million How large is the US budget? How large is the US debt? What country is the largest foreign holder of that debt? - - correct ans- - 2020: in billions Receipts: $3, Outlays: $4,790 (Budget) Deficit: $1, Debt: $17,881; China is the largest foreign holder What's the approximate nominal GDP of the EU? the US?
Germany? China? Brazil? Mexico? Chad? Saudi Arabia? What percentage of world nominal GDP does each country represent? - - correct ans- - world nominal GDP for year listed below: $85.9 Trillion nominal GDP of China - $13.6 million, percentage of world nominal GDP represented 15.8% of world nominal GDP nominal GDP of the US - $20.5 million, percentage of world nominal GDP represented 23.9% of world nominal GDP nominal GDP of the EU - $15.9 million, percentage of world nominal GDP represented 18.5% of world nominal GDP nominal GDP of Brazil - $1.88 million, percentage of world nominal GDP represented 2.19% of world nominal GDP nominal GDP of Germany - $3.9 million, percentage of world nominal GDP represented 4.59% of world nominal GDP nominal GDP of Mexico $1.2 million, percentage of world nominal GDP represented 1.42% of world nominal GDP nominal GDP of Saudi Arabia $786,521, percentage of world nominal GDP represented 0.915% of world nominal GDP nominal GDP of Chad $11,273, percentage of world nominal GDP represented 0.0131% of world nominal GDP GDP What is GDP and how is it measured? - - correct ans- - GDP = Consumption +Investment +Government Spending +(Exports-Imports) measures total value of final goods and services of a country
- Remember the order of these events: - - correct ans- - 1. Decolonization 1918-
- The Great Depression 1929-
- WWII 1939-
- Beginning of the Cold War
- PRC est. Oct 1st
- Korean War 1950-
- Vietnam War 1955-
- Cuban Missile Crisis Oct
- Six Day War June 5-10
- Nixon's first visit to China
- First oil embargo
- Camp David Accord Sept
- Islamic republic est. in Iran after overthrow of Shah 1978-
- Iran-Contra Affair 1985-
- Tiananmen Square Massacre June 4th
- US invasion of Panama Dec 20th
- Desert Storm 1990-
- End of the Cold War
- EU-Maastricht Treaty Feb
- Oslo Accords
- Rwandan Genocide April 7 1994-July
- Change from a White Regime to the Election of Mandela May
- 9-
- World Financial Crisis or Great Recession Dec 2007-June
- Arab Awakening
- Belt and Road Initiative
- Brexit referendum
Starting with Harry Truman, list the presidents in order with their years in office: - - correct ans- - 1945 - 1953 Harry S Truman 1953 - 1961 Dwight D Eisenhower 1961 - 1963 John F Kennedy 1963 - 1969 Lyndon B Johnson 1969 - 1974 Richard Nixon 1974 - 1977 Gerald R Ford 1977 - 1981 Jimmy Carter 1981 - 1989 Ronald Reagan 1989 - 1993 George Bush 1993 - 2001 Bill Clinton 2001 - 2009 George W Bush 2009 - 2017 Barack Obama 2017 - present Donald Trump Name any 5 US Secretaries of State since 1950 and indicate which president they served: - - correct ans- - Dean Gooderham Acheson (1949-1953) for Truman John Foster Dulles (1953-1959) for Eisenhower Christian Archibald Herter (1959-1961) for Eisenhower David Dean Rusk (1961-1969) for Kennedy & Johnson William Pierce Rogers (1969-1973) for Nixon Henry A. Kissinger (1973-1977) for Nixon & Ford Cyrus Roberts Vance (1977-1980) for Carter Edmund Sixtus Muskie (1980-1981) for Carter Alexander Meigs Haig (1981-1982) for President Reagan George Pratt Schulz (1982-1989) for Reagan James Addison Baker (1989-1992) for Bush ' Lawrence Sidney Eagleburger (1992-1993) for Bush ' Warren Minor Christopher (1993-1997) for Clinton
