Answer:
this will tend to worsen the country's terms of trade.
Explanation:
We can imagine a country C whose main export is cloth. Currently country C is gaining from its trade because its opportunity cost of producing cloth is very low.
Since the country's economy is growing strongly because its cloth exports re growing, this will appreciate the country's currency. As the country's currency appreciates, is domestic cost of producing cloth will get closer to the world price of cloth.
This will result in an increase in the cost of exports and a decrease in the price of imports, which will end up hurting the country's economy and it will weaken its trade position.
Something similar happens to countries that rely heavily on exporting commodities. The country's economy grows, but the other industries suffer and eventually the cost of producing commodities increases, and the benefits gained from exports decrease. E.g. during several years Argentina's economy grew strongly solely based on exporting agricultural products. Soon inflation started to rise and the costs of producing agricultural products increased, lowering the gains of trade. Since the rest of the economy relied on the benefits generated by exporting soybean oil, corn and other byproducts, when those benefits decreased, the whole economy collapsed. It was like a giant exporting bubble.
Answer:
Its b (prospective investors)
Answer:
C) Classification of products
Explanation:
Advertising is not a means of classifying products.
Advertising is a commercial process of marketing goods and services to a target group of people.
- Advertising is a means of making a product known the the general market population.
- It helps to increase the market share of a particular product among competitors.
- When an advert is done rightly, it can bring more revenue to the company.
- Also, it reinforces brand recognition.
The best and most correct answer among the choices provided by the first question is the third choice or letter C "the business cycle."
On the other hand, the best and most correct answer among the choices provided by the second question is the first choice or letter A " The price goes up. "<span>
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Answer:
Any type of government policy that restricts free trade and the movement of capital can trigger the aforementioned consequences. Thus, the limitation of companies to obtain economic benefits can make them decide to close their activities, leaving employees on the street (increasing unemployment), reducing the country's economic production (causing the country's real GDP to decrease), and ultimately, generating monetary lags due to lack of economic production, generating devaluations that lower the international price level of the country's products.