Which of the following is a reason why trade and geography are linked?
A)There are high costs of locating in large urban areas.
B)Many industries have no economies of scale.
C)Competition means that all firms want to locate near each other.
D)Some locations give access to pools of skilled labor or special resources.

Question

Quizplus · Accepted Answer

Some locations give access to pools of skilled labor or special resources. Different regions or countries have access to different resources or skills, making trade necessary to access those resources or skills that are not available locally. Geography also influences transport costs, which affect the cost of goods and services. Therefore, trade and geography are linked as the location of resources and skilled labor influences trade patterns.

Which of the Following Is a Reason Why Trade and Geography