Scenario: Zucoland
Zucoland,a small-sized country just south of the Andes mountain range,was invited to join a regional trading bloc.The government of Zucoland is considering the benefits and costs of joining such a bloc.The government is attracted by the fact that this trading bloc requires Zucoland to give up the least amount of sovereignty compared to other types of blocs.
-Joining a trading block has some drawbacks also.Zuocoland would likely experience all of the following drawbacks EXCEPT ________.
A) loss of national sovereignty
B) loss of military power
C) trade diversion
D) shifts in employment
Correct Answer:
Verified
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