When Trade Is Free, Patterns of Trade and Trade Flows

question 231

Multiple Choice

When trade is free, patterns of trade and trade flows result from

• A) the collective decisions of a few importers and exporters, as well as the governments of the countries in which they reside.
• B) the collective decisions of a few importers and exporters, as well as millions of private households and firms.
• C) the independent decisions of thousands of importers and exporters, as well as millions of private households and firms.
• D) the independent decisions of thousands of importers and exporters, as well as the governments of the countries in which they reside.

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Definitions:

Online Payment Systems

Digital platforms that facilitate the transfer of money between buyers and sellers over the internet.

Electronic Fund Transfer

is the electronic exchange or transfer of money from one account to another, either within a single financial institution or across multiple institutions.

Stored-Value Cards

Prepaid payment cards that have a monetary value stored on them electronically, commonly used for transactions in place of cash.

Smart Cards

Physical cards with embedded integrated circuits that can process information, used for secure transactions and identification.