Which of the Following Does Trade NOT Allow For

question 125

Multiple Choice

Which of the following does trade NOT allow for?

• A) a more efficient use of resources
• B) goods to be obtained at a lower opportunity cost
• C) people to specialize in activities in which they have a comparative advantage
• D) all individuals within trading countries to benefit

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Definitions:

Private Corporation

A corporation owned by a small group of people and its shares are not traded publicly but are held privately.

Public Markets

Public markets are venues where securities, commodities, and other financial instruments are traded between investors openly and regulated by financial authorities.

Shares

Units of ownership interest in a corporation or financial asset that provide for an equal distribution in any profits, if any are declared, in the form of dividends.

Issued Shares

The total number of shares that a corporation has legally sold to shareholders, including those held by the corporation itself as treasury shares.