How does global trade give poor countries a chance to develop economically?
ABy guaranteeing them a permanent surplus on their trade
BBy exempting them from every tariff other nations charge
CBy an infusion of foreign capital and technology
DBy fixing the prices of the commodities they export
Answer & Solution
Correct answer: C. By an infusion of foreign capital and technology
1. Poor countries often lack the capital and the technology to build modern industries.
2. Global trade brings an infusion of both from abroad.
3. That infusion gives poor countries the chance to develop economically.
4. The stated result is that prosperity spreads more widely.
5. No guarantee of a surplus, a tariff exemption or a fixed commodity price is offered.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 3 "Competing in the Global Marketplace", section 3.2 Why Nations Trade_
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