International Trade Tends to

question 78

Multiple Choice

International trade tends to

• A)increase economic instability in the world.
• B)increase the efficiency of production.
• C)lower profit.
• D)increase the cost of production.
• E)increase income inequality around the world.

---

Definitions:

Customers' Needs

The requirements or desires that clients seek to fulfill with products or services.

Manufacturer's Profits

The net income a manufacturing company earns after deducting all of its operating expenses from its revenue.

Cannibalization

The reduction in sales of a product as a result of the introduction of a similar product by the same company.

General Mills

An American multinational manufacturer and marketer of branded consumer foods sold through retail stores.