All of the Following Are Potential Advantages to Initiating, Continuing

question 10

Multiple Choice

All of the following are potential advantages to initiating, continuing, and/or expanding international operations EXCEPT

• A) firms can gain new customers for their products.
• B) foreign operations can absorb excess capacity, reduce unit costs, and spread economic risks over a wider number of markets.
• C) foreign operations can allow firms to establish low-cost production facilities in locations close to raw materials and/or cheap labor.
• D) foreign operations could be seized by nationalistic factions.
• E) foreign operations may result in reduced tariffs, lower taxes, and favorable political treatment.

Recognize the importance of economics in making informed citizenship decisions.

Identify the concept of scarcity and its implications for opportunity costs and resource allocation.

Comprehend the importance of models and theories in economics to explain real-world phenomena.

Differentiate between positive and normative economics and their roles in economic analysis and policy recommendation.

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Definitions:

Unarmed Robbery

The act of stealing from someone without the use of weapons.

Violence

The use of physical force with the intent to injure, damage, or kill someone or something.

Burglars

Individuals who unlawfully enter buildings with the intent to commit theft or any other felony.

Empty House

A building or space with no current occupants, often evoking a sense of abandonment or solitude.