________ Occurs When High-Cost Domestic Producers Are Replaced by Low-Cost

question 57

Multiple Choice

________ occurs when high-cost domestic producers are replaced by low-cost producers within the free trade area.

• A) Trade deficit
• B) Trade diversion
• C) Trade creation
• D) Trade distortion

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Definitions:

Manufacturing Processes

The methods and steps involved in converting raw materials into finished products, often through the use of machinery, labor, and chemical processing.

Internet

A global network of computers that allows for the exchange of information and communication across vast distances.

CEO Activism

CEOs and company leaders taking public positions on political and social issues on a local, national or global basis.

Racial Tensions

Strain and conflict in relationships between different ethnic groups within a society, often stemming from social, economic, and political inequalities.