Because of a trade agreement, toys made in Africa may be sold in European markets. These toys cost far less than comparable toys made in Europe, although their quality is lower. What will happen in Europe to expenditure on toys, employment in European toy companies and imports from Africa?
- Aexpenditure decrease; employment decrease; imports decrease
- Bexpenditure increase; employment decrease; imports uncertain
- Cexpenditure increase; employment uncertain; imports increase
- Dexpenditure uncertain; employment uncertain; imports increase