Which of the Following Is Likely Under Free Trade and Monopolistic

question 33

Multiple Choice

Which of the following is likely under free trade and monopolistic
Competition?

• A)Domestic firms will always be provided cash subsidies.
• B)Some domestic firms will shut down.
• C)Consumers will not benefit at all from trade.
• D)Foreign firms will sell the product at a higher price in the export market.

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Definitions:

Mutually Agree

A situation in which two or more parties come to a common understanding or consent on a matter.

Executed

indicates that an operation or task has been successfully carried out or implemented to its full extent.

Preexisting Duty Rule

A principle in contract law stating that performing or promising to perform a duty already owed under contract does not constitute valid consideration for a new promise.

Unforeseen Difficulties

Unexpected challenges or obstacles that were not anticipated, making a task or goal harder to achieve.