Which of the Following Is Likely Under Free Trade and Monopolistic

question 77

Multiple Choice

Which of the following is likely under free trade and monopolistic competition?

• A) Domestic firms will always be provided cash subsidies.
• B) Some domestic firms will shut down.
• C) Consumers will not benefit at all from trade.
• D) Foreign firms will sell the product at a higher price in the export market.

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Definitions:

Aleutian Islands

a chain of islands located in the Northern Pacific Ocean, forming part of the Alaska state boundary.

Seafloor Depth

The vertical distance from the ocean surface to the bottom of the ocean floor, varying greatly across different oceanographic features.

Trench

A long, narrow ditch often used for defense, utilities, or as a significant topographical feature on the ocean floor.

Passive Margin

A continental margin that is not a plate boundary.