Which of the Following Is NOT TRUE

question 173

Multiple Choice

Which of the following is NOT TRUE?

• A) The ability to buy and sell goods over long distances is a fundamental part of capitalist societies.
• B) Prior to capitalism, long-distance trade was largely confined to common goods, like foodstuff.
• C) Comparative advantage is part of capitalism.
• D) Capitalism made countries increasingly interdependent on one another.
• E) Expansion of trade networks tied European countries to each other.

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Definitions:

Internal Growth Rate

The maximum rate at which a company can expand internally without needing to obtain additional external financing.

Capital Intensity Ratio

A metric that measures the amount of capital needed per unit of output, indicating how capital-intensive a business operation is.

Operating Capacity

The maximum output that an organization can produce with its current resources and constraints.

Dividend Payout Ratio

A financial metric that shows what portion of a company's earnings are distributed to shareholders in the form of dividends.