Such products as mineral ore and cement that are heavy or bulky relative to their economic values
A)may be suitable for exporting because high transportation costs will be overcome by high profit margins in oligopolistic industries.
B)have high "value-to-weight ratios" that protect profit margins.
C)may not be suitable for exporting because high transportation costs will substantially reduce profit margins.
D)none of the options

Question

Quizplus · Accepted Answer

Products that are heavy or bulky relative to their economic values, such as mineral ore and cement, may not be suitable for exporting because high transportation costs will substantially reduce profit margins. These products typically have low "value-to-weight ratios," making it expensive to transport them over long distances for export. Therefore, it may not be economically feasible to export such products.

Such Products as Mineral Ore and Cement That Are Heavy