For What Reason Are the Transfer Prices of Imports More

question 20

Multiple Choice

For what reason are the transfer prices of imports more closely monitored worldwide than are exports?

• A) Political implications
• B) Effect on local job availability
• C) Impact on a country's balance of trade
• D) All of the above

---

Definitions:

Nation's Wealth

The total value of all assets owned by the inhabitants of a country, including both financial assets and physical assets.

Percentage

A percentage is a way of expressing a number as a fraction of 100.

Expected Utility

The sum of the utilities coming from all possible outcomes of a deal, weighted by the probability of each occurring.

Risk-loving

An inclination to engage in behaviors or decisions that involve exposure to uncertainty, with the potential for higher rewards.