When transportation costs are added to production costs, it becomes unprofitable to ship some products over a large distance. This is particularly true of products that
A) have a low value-to-weight ratio.
B) have a high value-to-weight ratio.
C) can be produced only in one region.
D) require locally sourced raw materials.

Question

Quizplus · Accepted Answer

When transportation costs are added to production costs, it becomes unprofitable to ship some products over a large distance. This is particularly true of products that have a low value-to-weight ratio and that can be produced in almost any location.

When Transportation Costs Are Added to Production Costs, It Becomes