Why Do Free Trade Proponents Dislike Rules of Origin in Trade

question 154

Multiple Choice

Why do free trade proponents dislike rules of origin in trade agreements?

• A) It decreases the amount of international trade in the world.
• B) It increases the amount of international trade in the world.
• C) It decreases incentives for trade diversion.
• D) It increases incentives for trade deflection.

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Definitions:

Social Norm

Unwritten rules or expectations for behavior in a given group or society.

Attitude

A settled way of thinking or feeling about something, typically reflected in a person's behavior.

Attribution

The process by which individuals explain the causes of behavior and events.

Familiarity Effect

A psychological phenomenon where people tend to develop a preference for things merely because they are familiar with them.