Based on Gordon Laxer's Analysis, Which of the Following Best

question 22

Multiple Choice

Based on Gordon Laxer's analysis, which of the following best exemplifies the economic changes involved with globalization?

• A) The increase in free trade agreements aimed to expand free markets.
• B) Ideological change that comes with trade liberalization.
• C) The emergence of a universal world culture.
• D) New communication technologies that contribute to a growth in services.

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Definitions:

Barriers to Entry

Factors that prevent or impede the ability of a new competitor to enter an industry and compete with existing firms.

Price Differences

Variations in the cost of goods or services, often arising from factors like geographical location, demand, or manufacturing costs.

Market Demand

The total demand for a product or service within a market, summing up the individual demands of all potential buyers.

Purely Competitive Industry

An industry characterized by many buyers and sellers, free entry and exit, and a product that is homogeneous, leading to the establishments of a market price for all participants.