Say that a new manufacturing firm moves to town. In the context of regional economic development, match the appropriate term to the set of features/activities/businesses.
-businesses that supply the new firm with inputs such as components,raw materials,specialized services
A)external economies
B)backward linkages
C)forward linkages
D)ancillary industries

Question

Quizplus · Accepted Answer

Backward linkages refer to the businesses that supply inputs to a primary firm, such as components, raw materials, and specialized services. In this case, the businesses supplying the new manufacturing firm with inputs would be considered backward linkages.

Say That a New Manufacturing Firm Moves to Town