Splitting up the value chain allows companies to take advantage of ____.   economies of scale and opportunity cost   absolute advantage and comparative advantage   economies of scale and specialization   trade agreements and specialization

Q: Which of the following is responsible for partial specialization existing? a. Increasing costs can…

A: Partial specialization takes place while nations have interaction in alternate with every other. It…

Q: From the list below, choose two examples of products that are traded on international markets for…

A: A learning curve is a way of showing how skill or proficiency improves over time or experience. It's…

Q: Which of the following statements is true A. express terms are given less weight than the course of…

A: The answer is - C. Express terms are given more weight than course of performance by the parties.

Q: Which of the following most accurately describes the Spanish foreign trading policies? OPTIONS: (i)…

A: Foreign trading: Global exchange is the trading of capital, products, and administrations across…

Q: How did Europe's Industrial Revolution contribute to the Age of Imperialism? Select THREE answers…

A: When talking about European Industrial Revolution, it was the situation when European countries were…

Q: ongoing globalization of business benefit from the liberation of foreign trade and investment…

A: The ongoing globalization of business benefit from the liberation of foreign trade and investment…

Q: New trade theory explains the location of firms in one city rather than another by using the…

A: According to New Trade Theory (NTT), very large economies of scale and network effects that might…

Q: An economic benefit to engaging in intra-industry trade between countries includes a) division of…

A: Intra-industry trade refers to the exchange of similar products belonging to the same industry. The…

Q: Outline the challenges for East Asian global value chains and production networks arising from the…

A: Challenges for East Asian Global value chains and production networks  due to the rising tension in…

Q: Question 1   Which of the following is NOT a result of specialization?   Multiple Choice…

A: Meaning of Economics of Scale: The term economics of scale refers to the situation under which the…

Q: Explain how product differentiation leads to intra-industry trade?

A: Trade models dependent on relative benefit are because of contrasts in productivities or factor…

Q: When both countries shift production toward each of their comparative advantages: Their combined…

A: When an economy engages in a more open international trade of goods and services with other…

Q: 2. Answer the following questions based on the data below Lumber 9. Aluminium Canada 3 Brazil 3 a)…

A: The cost that should be foregone for in turn getting something is known as the cost of opportunity.…

Q: What is Inter-industry and Intra-industry trade? How do economies of scale and product variety…

A: Trade refers to the exchange of goods and services between two or more parties, often involving the…

Q: 4. Consider country A with a sector characterised by increasing returns to scale, where homogeneous…

A: Here, it is given that country B is one-third of the size of country A and country A has a constant…

Q: QUESTION 5 Stolper-Samuelson theorem predicts that trade contraction will hurt the owners of…

A: Stolper-Samuelson theory assumes that the overall price of services and goods increases, which leads…

Q: Economic thinking suggests that a nation in which middlemen are considered to be unproductive…

A: It can be defined as the measure of efficiency in converting inputs and into outputs  (products) It…

Q: 6. The arguments for restricting trade Suppose there is a policy proposal to increase trade…

A: Trade restrictions refer to government-imposed measures that limit or regulate the flow of goods and…

Q: Where do you label the initial, specialisation, and after trade points on this graph? Please provide…

A: Comparative advantage is ability of a country to produce goods and services at a lower opportunity…

Q: 2. Compare and contrast Adam’ smith absolute advantage, David Ricardo’s comparative and Heckscher…

A: The international trade would result in the production of the goods and services and exchange with…

Q: Inter-industry trade involves trade among nations with firms producing very similar, highly…

A: Inter-industry trade happens when nations work in the production of various sorts of goods and…

Q: 1. Multinational enterprises Which of the following are common characteristics of multinational…

A: Multinational enterprises (MNEs) are companies that have operations in multiple countries. These…

Q: Each of the following is an operating mode for companies to accomplish their international…

A: International trade includes the involvement of multiple nations in the exchange of products and…

Q: Suppose that the US government imposes a quota on some of China's electronic products. What will be…

A: Quota can be defined as the numerical limit that a government imposes on the quantity of goods that…

Q: The growing importance of intra-industry trade a. reflects the declining importance of economies of…

A: The transfer of goods and services from one entity to another or from one person to another is known…

Q: 3. To which of the following would the mercantilists have objected? a. free trade b. C. d. e.…

A: This can be defined as an economic theory prevalent in the 16th to 18th centuries that emphasized a…

Q: What is the predicted pattern of trade under monopolistic competition? Explain why export prices…

A: Meaning of Monopolistic Competition: It is a form of the market in which there are many sellers of…

Q: Imagine the following case study where two different countries: Albania and Belize have remained…

A: Since you have posted a question with multiple sub parts, we will solve first three subparts for…

Q: True or False: According to the theory of comparative advantage in international trade, even if one…

A: Comparative advantage refers to the benefit that a producer gains from trade when the producer is…

Q: The theory that reflects thempact of technology accumulationnd diffusion on international…

A: International trade refers to the exchange of goods, services, and capital between countries. The…

Q: explain the strategic trade theory  and with an aid of an example of industry of choice. motivate…

A: It is a basic economic term for a buyer to pay a seller to buy or sell goods or services, or to…

Q: Summarize how the trade of opium was organized in a way that gave merchants and companies based in…

A: Trade was paramount for the British Empire, as it was integral for wealth accumulation, influence…

Q: Which of the following is not likely to be a gain to a host state of a multinational company? a)…

A: An multinational company (MNC) is the company which have branches all over the world and the…

Q: 1. International expansion is one pathway for growth for established firms, particularly when their…

A: When a business decides to enter the international market, it has a number of options. Cost, risk,…

Q: Explain how the oil producing countries can enforce an agreement between them to maintain a commonly…

A: Enforcing an agreement among oil-producing countries to maintain a commonly desired level of…

Q: Question 4 a. What are the gains to be derived from free trade? b. Illustrate, with the use of…

A: Trade is the process through which two or more parties exchange commodities, services, or capital.It…

Q: The matrix given below represents the pay offs to two large countries, Zombec and Firan, each…

A: Nash Equilibrium refers to the decision-making theorem, that states a player can achieve the desired…

Q: Building materials company wants to expand its business in Iran. What mode of entry should be used…

A: A corporate worldwide extension technique can be considered as a partnership's conventional…

Q: Please identify which of the following does not constitute a barrier that makes it difficult for…

A: Option D.  Reduced transportation costs is NOT a barrier.  Government regulations can prevent firms…

Q: ul and unsuccessful internatio

A: Following are the Example of mergers and acquisitions  • Transaction between InBev and Anheuser…

Q: Assign the different theories to the source of gains from trade in the theory (e.g. specific factors…

A: Melitz (2003) model talks about trade liberalization whereby the there is reallocation of resources…

Q: Many US and European Multinationals have expanded in Asian countries and have established…

A: A multinational can be a company that operates in its home country, as well as in different…

Q: Economic theories for integration imply that free trade and investment create __________ for…

A: Economic theories refer to systematic frameworks or models that economists use to analyze and…

Q: South Africa and Madagascar have the same number of resources. South Africa can produce either 700…

A: A production possibility frontier (PPF) shows the maximum possible output combinations of two goods…