Which Can Be Thought of as Explaining the "Why" of Multinational

question 39

Multiple Choice

Which can be thought of as explaining the "why" of multinational corporation foreign activities according to Eclectic Theory?

• A) Resource advantages
• B) Demand advantages
• C) Supply advantages
• D) Ownership advantages
• E) Asset advantages

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Definitions:

Excise Tax

A tax applied to specific goods, services, or activities, often with the intention of reducing consumptions, such as taxes on tobacco or alcohol.

Tax Incidence

The study of who ultimately bears the economic burden of a tax, whether producers or consumers.

Inelastic Demand

A situation where the demand for a product does not significantly change with a change in its price.

Excise Tax

A tax levied on the sale of particular goods and services, such as alcohol, tobacco, and gasoline.