Which of the Following Statements Is True of Exporting

question 27

Multiple Choice

Which of the following statements is true of exporting?

• A) It increases the trade deficit that nations have.
• B) Exporting leads to diseconomies of scope.
• C) It helps a firm achieve economies of scale.
• D) Exporting is not beneficial to a country's economy.

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Definitions:

Cause-and-Effect Relationships

The principle that an action or event (cause) will produce a certain response or outcome (effect) in a given context.

Descriptive

Pertaining to the detailed description of characteristics, behaviors, or the setting of an event without imposing any interpretations or judgments.

Correlational Research

A method of research that examines the relationship between two or more variables to determine if a change in one is associated with a change in the other(s).

Cause-and-Effect Relationship

A connection between two events where one is the result of the other or others.