A U.S. consumer electronics company has to shut down because it cannot compete against foreign manufacturers. For the U.S., this is an example of a(n)________ of international trade.

Question

Quizplus · Accepted Answer

The shutdown of the U.S. consumer electronics company is a cost of international trade, as it represents a loss for the U.S. economy and its workforce. The company is unable to compete against foreign manufacturers, which suggests that these manufacturers are able to produce and sell similar products at a lower cost or better quality, making it difficult for the U.S. company to remain in business.

A US Consumer Electronics Company Has to Shut Down Because It