The Opportunity to Exploit Economies of Scale Is One of the Gains

question 7

Multiple Choice

The opportunity to exploit economies of scale is one of the gains to be made from removing tariffs and other trade distortions. These gains will be found by a decrease in

• A) world prices of imports.
• B) the consumption distortion loss triangle.
• C) the production distortion loss triangle.
• D) international labor mobility.
• E) excessive entry and inefficient business practices.

---

Definitions:

Horsetails

A group of vascular plants from the genus Equisetum, known for their reed-like appearance, that reproduce through spores instead of seeds.

Silica

A mineral compound made of silicon and oxygen (SiO2), commonly found in quartz and used in various technologies and construction materials.

Scouring Pads

Abrasive materials used for cleaning to remove tough dirt, stains, and material from surfaces without damaging them.

Mature Pollen Grain

The haploid male gametophyte phase of plants that contains the cells that will fertilize female ovules, enabling sexual reproduction.