Which of the Following Is NOT an Effect of Intra-Industry

question 34

Multiple Choice

Which of the following is NOT an effect of intra-industry trade, if the concerned industry is monopolistically competitive?

• A)There are considerable national gains that arise from trade because there is an increase in the number of varieties of products available in the country.
• B)Domestic consumers gain because such trade results in lower prices of domestic varieties of the good.
• C)Total output of the domestic firms in the industry increases as a result of such trade.
• D)There are few shifts in production between industries that put pressures on factor prices.

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Definitions:

Deep Structure

In linguistics, the underlying syntactic structure or meaning of a sentence, as opposed to its surface structure or actual spoken form.

Surface Structure

A concept in linguistics referring to the outward form of a sentence, as opposed to the deeper meaning or abstract structural representation (deep structure).

Transformational Grammar

A linguistic theory that focuses on how sequences of words can be transformed into sentences, emphasizing the rules and principles behind sentence structure.

Bonobos

A species of great ape known for its peaceful behavior and matriarchal societies, closely related to chimpanzees.