The Dynamics of Environmental Rules and WTO Trade Principles Have

question 40

Multiple Choice

The dynamics of environmental rules and WTO trade principles have received greater attention than ever before.Which of the following statements are notlikely to be used by environmentalists on this issue?

• A) If items are produced through two different methods with two very different environmental consequences, they are not like products under WTO rules.
• B) Even when WTO rules do allow governments to restrict trade in pursuit of environmental goals, the burden of proof necessary can be insurmountable.
• C) Income gains from WTO free trade principles are more important than negative environmental consequences.
• D) The WTO should accept as a general principle that any trade restriction applied in connection with an MEA is fully consistent with WTO rules.
• E) Environmental safeguards are not simply means to disguise protectionism.

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Definitions:

Activity-based Costing

An accounting method that assigns costs to products based on the activities performed in producing that product, providing more accurate product costing.

Second-stage Allocation

In cost accounting, this is the process of allocating service department costs to producing departments based on relevant measures.

Activity-based Costing

A costing method that assigns overhead and indirect costs to specific products or projects based on their use of activities, leading to more accurate product costing.

Profitable Products

Products that generate more revenue than the costs involved in their creation, marketing, and distribution.