Which One of the Following Statements Does NOT Accurately Describe

question 51

Multiple Choice

Which one of the following statements does NOT accurately describe the concerns of the countries that negotiated the North American Free Trade Agreement?

• A) Canadians worried about a vast influx of Mexican immigrants into Canada, thereby providing a cheap source of labour.
• B) Canadian firms worried about domination by United States manufacturers.
• C) American politicians were concerned about the potential loss of jobs to Mexico.
• D) Mexico feared a further intrusion of US culture and values into Mexico.
• E) Americans complained that Mexican businesses had lower social standards regarding the use of child labour and protection of the environment.

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Definitions:

Rent Seeker

An individual or entity that seeks to increase their share of existing wealth without creating new wealth, often through manipulation of the economic environment.

Public Choice Theory

A framework that analyzes how public decisions are made, focusing on the behavior and interests of voters, politicians, and bureaucrats.

Excess Burden

The cost to society created by market inefficiency, which occurs when supply and demand are out of equilibrium, often due to taxes or monopolies.

Social Cost

The total cost to society as a result of an action or activity, including both private costs incurred by individuals and external costs affecting others.