Economics 0455 · IGCSE · Globalisation, free trade and protection

Globalisation, free trade and protection — practice question

Which row indicates the possible advantages of free trade for consumers, producers and the economy?

  • Aconsumers: higher income; producers: lower costs; economy: deflation
  • Bconsumers: lower quality; producers: higher prices; economy: greater equality
  • Cconsumers: lower prices; producers: increased competition; economy: higher current account deficit
  • Dconsumers: more choices; producers: larger market; economy: lower unemployment

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