Assume That the Formation of a Customs Union Turns Out

question 81

Multiple Choice

Assume that the formation of a customs union turns out to include the lowest-cost world producer of the product in question.Which effect could NOT occur for the participating countries?

• A) trade creation-production effect
• B) trade creation-consumption effect
• C) trade diversion
• D) scale economies and competition

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Definitions:

Organisational Cultures

The shared values, beliefs, and norms that influence the way employees think, feel, and behave within an organization, shaping its social and psychological environment.

Learning Organisation

An organization that promotes a culture of continuous learning, adaptability, and innovation among its employees and processes.

Global Awareness

The recognition and understanding of worldwide cultural differences, international events, and global economic, environmental, and political issues.

Economic Development

The process through which a region improves the economic well-being and quality of life for its inhabitants.