_____ Occurs When Lower-Cost External Suppliers Are Replaced by Higher-Cost

question 83

Multiple Choice

_____ occurs when lower-cost external suppliers are replaced by higher-cost suppliers within a free trade area.

• A) Trade creation
• B) Strategic pricing
• C) Synergy
• D) Trade diversion
• E) Protectionism

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Definitions:

National Labor Relations Board

A federal agency in the United States tasked with enforcing US labor law in relation to collective bargaining and unfair labor practices.

Labor Standards

Regulations and practices that relate to working conditions, including aspects like minimum wages, working hours, safety, and rights to organize.

Labor Cooperation

The collaboration between workers, employers, and sometimes governments, to improve working conditions, productivity, and workers' rights.

Free Trade Agreements

Bilateral or multilateral agreements between countries that reduce or eliminate barriers to trade, such as tariffs and import quotas, fostering increased trade and economic integration.