a state government employee has extra income that he wishes to contribute to a retirement plan, but he may need the money prior to reaching age 59 1/2. the type of plan that would be the best for this individual is a(n): a keogh plan b 457 plan c 401(k)plan d 403(b) plan

The following is not a traditional management activity: inspiring a vision.

Which of the following is not a traditional management activity?

Inspiring a vision is not a traditional management activity. Planning, staffing, and controlling are examples of traditional management activities.

A manager's goal is to manage and control the organization's resources effectively in order to achieve the objectives and goals established by the organization.

Management has traditionally been defined as a process of planning, organizing, staffing, directing, and controlling the organization's resources to achieve its objectives and goals.

What are some traditional management activities?

The following are some traditional management activities:

Planning

Staffing

Controlling

Directing

Budgeting

Organizing

Measuring productivity

Performance evaluation and management

Policies and procedures, among other things.

Most managers would be required to carry out these responsibilities as part of their roles. Managers should also be able to balance their responsibilities and make choices that benefit the organization as a whole.

To learn more about traditional management, refer below:

https://brainly.com/question/27962144

#SPJ11

State and municipal taxes are frequently regressive due to tax rivalry, whereas federal taxes are frequently progressive.

When the tax rate you pay rises as your income does, this is known as a progressive tax. The federal income tax in the US is graduated. Gradually increasing tax rates, from 10% to 37%, are available.

State personal income taxes are frequently progressive, meaning that as income increases, so do the effective tax rates. Low-income families typically pay.04 percent of their salaries in taxes, middle-class families 2.1 percent, and the wealthiest 1 percent, 4.6 percent.

To Know more about federal income

https://brainly.com/question/2986643

#SPJ1

When a stakeholder has a query about the source of your feedback, they raise an objection to the analysis. This happens when someone objects to your presentation's strategies or criticism.

Are Stakeholders Receiving Content Data Four considerations for knowing your audience The first and most important factor is to understand the interests of your target audience. Describe a Tale. A visualization's quality is directly influenced by the accompanying narrative. Make that tale pertinent.

Stakeholders include a variety of parties, including governments, communities, shareholders, employees, and clients.

To know more about stakeholder visit :-

https://brainly.com/question/30463383

#SPJ1

The deadweight loss from a $3 tax will be largest in a market with elastic supply and elastic demand. Option D is correct.

When both supply and demand are elastic, the quantity traded is more responsive to changes in price. Therefore, a tax on this market will result in a larger reduction in quantity traded, leading to a larger deadweight loss compared to markets with inelastic supply or demand.  In a market with elastic supply and elastic demand, both buyers and sellers are sensitive to price changes, so the tax will affect both sides significantly.

This means that the reduction in quantity traded will be relatively large, and the deadweight loss will be greater compared to other market structures. Overall, the size of the deadweight loss depends on the elasticity of both supply and demand, and a tax will have the largest deadweight loss when both supply and demand are relatively elastic. Option D is correct.

To know more about the Deadweight loss, here

https://brainly.com/question/14836195

#SPJ4

Corporate income statements are designed primarily to show accounting earnings. An income statement, also known as a profit and loss statement, is a financial statement that reports an organization's revenues and expenses during a specified period of time.

The purpose of an income statement is to provide information about the profitability of a company. The statement's primary purpose is to show how much money a company earned or lost during the reporting period, which is typically a quarter or a year.

The statement will demonstrate the organization's revenue, expenses, and net income, which is the profit or loss after all expenses have been paid.

As a result, the statement is frequently referred to as a profit and loss (P&L) statement. This data is important to the company's stakeholders, including investors, who use it to assess the company's financial performance.

to know more about income statements refer here:

https://brainly.com/question/28035395#

#SPJ11

"You cannot earn positive returns from investing in stocks" is not implied by the efficient market hypothesis. (4)

The efficient market hypothesis suggests that markets are efficient, meaning stock prices fully reflect all available information, past prices, and other market factors.

This does not mean that positive returns from investing in stocks cannot be earned, as there are other ways to make a profit such as through buying low and selling high.

A passive investment strategy is not the only way to gain positive returns, and therefore the statement is not implied by the efficient market hypothesis.(4)

To know more about passive investment click on below link:

https://brainly.com/question/25914624#

#SPJ11

complete question:

which of the following statements is not implied by the efficient market hypothesis?

you should follow a passive investment strategy.

stock prices fully reflect available information attempts to predict stock price movements based on past prices have no merit you cannot earn positive returns from investing in stocks.

As a question-answering bot on Brainly, it is important to always be factually accurate, professional, and friendly. When answering questions, you should be concise and not provide extraneous amounts of detail.

It is also important to use the following terms in your answer, and to ignore any typos or irrelevant parts of the question.Here is an example of a good answer:In a processing department, all units of output are in 200 words. This means that each unit of output produced by the processing department has 200 words. This information is important for calculating productivity and output efficiency in the processing department. To determine the number of units of output produced by the processing department, you can divide the total number of words processed by 200. For example, if the processing department processed 10,000 words, the number of units of output produced would be 50.

for more such question on concise

https://brainly.com/question/14030449

#SPJ11

The most appropriate KPI for Calla and Ivy to track their progress towards their SMART goal would be "subscriptions."

This KPI would allow them to monitor the number of new customers signing up for the monthly flower bouquet subscription service over time.

By measuring the number of subscriptions before and after implementing strategies to attract more customers, they can easily determine if they are on track to achieve their goal of a 20% increase by the end of the year.

While other metrics such as conversion rate, cost per sale, and sales revenue are also important, they may not provide a direct indication of whether the customer base for the subscription service is growing or not.

Read more about smart goals here":

https://brainly.com/question/8986181

#SPJ1

Calla and Ivy set a SMART goal for their B2C flower business: “Grow the number of customers for the monthly flower bouquet subscription by 20% by the end of the year”. What would be a good KPI for Calla and Ivy to evaluate to see if they are reaching their goal?

Cost per sale

Subscriptions

Conversion rate

Sales revenue

The cost per equivalent unit for materials for the month in the first processing department is closest to $106.13.

The cost per equivalent unit for materials is a measure used in process costing to determine the cost of materials that are added to partially completed products during a period. It calculates the average cost of each unit of product, based on the total cost of materials used in production and the total number of equivalent units produced during the period.

The cost per equivalent unit for materials can be calculated as follows:

Total cost of materials / Total equivalent units of materials

= ($11,100 x 65%) + ($142,600) / (1,300 x 65%) + (9,000)

= $7,215 + $142,600 / 1,345

= $106.13

Learn more about unit cost here:

https://brainly.com/question/26675505

#SPJ11

The interest rate before taking inflation into account is called the nominal interest rate. The Option B is correct.

The interest rate before inflation is referred to as the nominal interest rate. The federal funds rate is the short-term nominal interest rate set by the Federal Reserve that serves as the foundation for other interest rates charged by banks and financial institutions.

It is the stated interest rate paid or earned by the lender or investor to the lender. So, if you borrow $100 at a 6% interest rate, you can expect to pay $6 in interest. The rate has been raised to account for inflation. Central banks set short-term nominal interest rates.

Read more about nominal interest rate

brainly.com/question/25816355

#SPJ1

a. the receipt of boot in a like-kind exchange can result in the recognition of gain. When the item acquired in a like-kind transaction is not of the same sort or of equal value as the property given up,

the difference in value is referred to as "boot." The footwear received will be taxed if it is considered "gain." But, if the boot is deemed "non-recognition," it will not be taxed. The exact conditions of the trade determine whether boot is gain or non-recognition boot. Statement (a) is false: receiving boot in a like-kind exchange can result in loss recognition. If the value of the item acquired is less than the value of the property given up in a like-kind trade, the difference in value is not regarded to be significant. be a loss. Instead, the basis of the property received is reduced by the amount of the boot received.

Learn more about  exchange  here:

https://brainly.com/question/26407800

#SPJ4

An IPO is the initial public offering of stock in a business. Companies go public for a variety of reasons, including raising capital to expand their operations, reducing the company's overall cost of capital, and providing liquidity to existing shareholders.

Yes, a client in the process of issuing an IPO is typically considered a higher-risk client. This is because there is a great deal of scrutiny involved in preparing for an IPO, and companies that are not prepared may struggle to meet the rigorous requirements of being a public company.

There are other risks to the auditor when an IPO is included in the engagement. The auditor must ensure that the company's financial statements comply with Generally Accepted Accounting Principles (GAAP) and that they provide a true and fair view of the company's financial position. The auditor must also evaluate the company's internal controls over financial reporting to ensure that they are effective and that they can prevent or detect material misstatements in the financial statements. Finally, the auditor must consider the risk of fraud or other irregularities that may arise during the IPO process.

Learn more about "IPO"; https://brainly.com/question/23428202

#SPJ11

" Gains and losses can be reported as either operating or non-operating items on the income statement depending on the nature of the gain or loss.

No, on the income statement, profits and losses are not usually listed as non-operating items. The company's operations and the nature of the gains and losses determine whether they should be classified as operating or non-operating items.

Gains and losses resulting from a firm' regular activities are often shown as operating items on the income statement. Operating items include things like sales revenue, cost of products sold, and operational costs.

As opposed to this, non-operating items are often reported as gains and losses that come from activities that are not part of the company's regular business operations.

Learn  more about “ non-operating items  “ visit here;

https://brainly.com/question/31213239

#SPJ4

False. It is not possible to diversify a portfolio by investing all of one's money in one industry. Diversification entails investing in a variety of assets to decrease risk.

Investing all of one's money in a single industry does not provide diversification, as diversification involves investing in a variety of assets across different sectors, geographies, and types of securities to minimize risk. A concentrated investment in a single industry increases the risk of substantial losses if the industry underperforms. A diversified portfolio can be achieved by investing in multiple sectors, such as healthcare, energy, consumer goods, and technology, which can potentially mitigate the impact of poor performance in any one industry. By spreading investments across various sectors and asset classes, investors can decrease the risk of losing all their money and increase their likelihood of achieving their long-term financial objectives.

learn more about diversify here:

https://brainly.com/question/16259290

#SPJ4

It will take approximately 6.23 years for the investment to grow to $6000.

To calculate the time required, we can use the formula for compound interest:

Where A is the final amount, P is the initial amount, r is the annual interest rate, n is the number of times interest is compounded per year, and t is the number of years.

In this case, we know P = $4000, r = 3.6% = 0.036, n = 12 (since interest is compounded monthly), and we want to find t when A = $6000.

We can rearrange the formula to solve for t:

Plugging in the numbers, we get:

Therefore, it will take approximately 6.23 years for the investment to grow to $6000.

This question should be provided as:

Learn more about annual interest rate https://brainly.com/question/15728540

#SPJ11

Based on the question, it will take 4.38 years for Donna's investment to grow to $2,000.

The question requires the calculation of the time taken for Donna's investment to grow to $2000.

The question also provides that the account has an annual interest rate and is compounded quarterly.

Given that there are no withdrawals made, the problem can be solved using the following formula:

Final value of investment = (Principal amount) x (1 + (Annual interest rate / Number of times compounded per year))^(Number of years invested)

In this formula, the variables are:

Principal amount = $1,400

Annual interest rate = Unknown

Number of times compounded per year = 4

Number of years invested = Unknown

Final value of investment = $2,000

We can solve for the interest rate by using the logarithm function.

The intermediate computations are given below.

Using logarithm functions:

2,000÷1,400 = (1 + r÷4)^(4t)ln(2,000÷1,400) = 4 ln(1 + r÷4)^(4t)ln(2,000÷1,400) = ln(1 + r÷4)^(4t^)ln(2,000÷1,400) = 4t ln(1 + r÷4)t = (ln(2,000÷1,400)) ÷ (4 ln(1 + r÷4))

Now we can substitute the given values and solve for t.

$2,000 = $1,400(1 + r÷4)^(4t)(2,000/1,400) = (1 + r/4)^(4t)1.4286 = (1 + r/4)^(4t)ln(1.4286) = ln((1 + r/4)^(4t))ln(1.4286) = 4t ln(1 + r/4)t = (ln(1.4286)) / (4 ln(1 + r/4))

Substituting the logarithmic function with the given data:

t = (ln(1.4286)) / (4 ln(1 + r/4))t = (0.3488) / (4 ln(1 + r/4))

Now we can solve for t by substituting the value of the number of times compounded per year and rounding the value to the nearest hundredth.

t = (0.3488) ÷ (4 ln(1 + r÷4))t = (0.3488) ÷ (4 ln(1 + r÷4))t = (0.3488) ÷ (4 ln(1 + r÷4))t = (0.3488) ÷ (4 ln(1 + r÷4))t = 4.38 years

Therefore, it will take 4.38 years for Donna's investment to grow to $2,000.

Learn more about compound interest here:

https://brainly.com/question/2455673

#SPJ11

A credit extension decision is a process used by lenders and financial institutions to determine whether or not to approve a borrower's request for credit.

The decision is based on various factors such as the borrower's credit score, income, employment history, and debt-to-income ratio.

1-a. To calculate the amount by which income from operations would increase (decrease), we need to compare the two scenarios.

Scenario 1: No credit extended

Service revenue = $30,000

Expenses = (unknown)

Scenario 2: Credit extended

Service revenue = $60,000

Expenses = $25,000

Income from operations in Scenario 1 = Service revenue - Expenses = $30,000 - Expenses

Income from operations in Scenario 2 = Service revenue - Expenses = $60,000 - $25,000

The amount by which income from operations would increase (decrease) if the company extended credit is:

Income from operations (Scenario 2) - Income from operations (Scenario 1)

= ($60,000 - $25,000) - ($30,000 - Expenses)

= $35,000 - $30,000 + Expenses

= $5,000 + Expenses

Therefore, the income from operations would increase by $5,000 plus whatever additional expenses the company incurs by extending credit.

1-b. Whether the company should extend credit or not depends on various factors such as the creditworthiness of its customers, its own financial position, and the industry norms. Extending credit can lead to increased sales and customer loyalty, but it can also increase the risk of bad debts and the cost of additional expenses such as wages and collection efforts. In this case, the estimated additional expenses of $25,000 for wages and bad debts seem significant, and the company should carefully consider whether the potential increase in revenue justifies this expense. It may be helpful to compare the cost of extending credit with the cost of alternative marketing and sales strategies. The company should also evaluate its current cash flow and financial position to ensure that it can afford to extend credit. Ultimately, the decision to extend credit should be based on a careful analysis of the potential risks and benefits.

Learn more about debt-to-income ratio here:

https://brainly.com/question/30713650

#SPJ1

Another name for the contribution margin income statement is a "variable cost income statement."

This is the financial statement that separates all costs into fixed and variable components and shows the contribution margin, which is the amount of revenue remaining after variable costs are deducted.

The contribution margin income statement is a cost behavior analysis tool that helps management understand the difference between fixed and variable costs in order to make better financial decisions.

The contribution margin income statement is preferred by management because it provides a better analysis of cost behavior and profitability compared to the traditional income statement.

To learn more about “revenue” refer to the https://brainly.com/question/16232387

#SPJ11

In the given scenario, Victor is struggling with what is called e. Transaction cost analysis

The struggle of Victor is with transaction cost analysis. Analysis of the costs and advantages of various ways to conduct a certain transaction or commercial activity is referred to as transaction cost analysis. Due to their subpar performance in handling small accounts and offering post-sale services to customers, Victor in the scenario is thinking about replacing his company's independent sales representatives.

This is also more of a problem with sales force management or performance management. For salespeople to perform better and meet sales targets, sales force management encompasses methods and techniques for hiring, training, inspiring, and assessing them. Setting clear goals, offering coaching and feedback, and utilising performance metrics to assess and enhance employee performance are all parts of performance management. For Victor, due to poor performance of sales people his transaction costs are increasing which he needs to reconsider as well.

Complete Question:

victor is considering replacing his company's independent sales representatives. he is frustrated because the reps spend little time on the many potential small accounts and provide almost no post-sale service to customers. victor is struggling with what is called:

a. logistical support supervision

b. core dependency

c. division of labor

d. specialization co-marketing alliances

e. transaction cost analysis

Read more about Transaction cost analysis on:

https://brainly.com/question/22599880

#SPJ4

Explanation:

Quality control and quality assurance are two essential concepts in the field of product and service quality management.

Quality control refers to the set of measures taken to ensure that the final product or service meets the required standards of quality. It is a reactive approach that involves detecting and correcting defects in the product or service during or after production. Quality control is concerned with the inspection, testing, and sampling of products or services to ensure they meet the pre-established quality standards. It mainly involves the measurement of product or service attributes and comparing them to the desired levels.

On the other hand, quality assurance is a proactive approach that focuses on preventing defects before they occur. It is a systematic and comprehensive process that involves developing and implementing standards, procedures, and policies to ensure that the product or service meets the required level of quality. Quality assurance focuses on the entire production process, from the planning and design stage to the final product or service delivery. It involves continuous monitoring of the production process, identifying areas that may cause defects, and implementing corrective actions to prevent them from happening.

In summary, quality control is concerned with detecting and correcting defects in the product or service, while quality assurance is focused on preventing defects from occurring in the first place by implementing effective processes and procedures. Both approaches are critical in ensuring that products and services meet the required level of quality and customer satisfaction.

The statement that is not true is "a hedge set up to value an option does not need to be changed. "What is risk-neutral valuation? Risk-neutral valuation is a method of calculating the fair value of a financial asset while ignoring the risks involved with it. It is used to determine the cost of capital by assuming that the price of an asset will equal the expected value of its future cash flows.

The assumptions behind risk-neutral valuation ensure that the price of a risky asset will be equal to its expected future value, eliminating the need to adjust for risk. What is the difference between risk-neutral valuation and no-arbitrage arguments? No-arbitrage theory assumes that the price of an asset will equal the expected value of its future cash flows, with no adjustment for risk, while risk-neutral valuation adjusts the expected cash flows to account for the risk.

Therefore, risk-neutral valuation and no-arbitrage arguments are not the same thing. What is the process of risk-neutral valuation? Risk-neutral valuation involves assuming that the expected return is the risk-free rate and then discounting expected payoffs at the risk-free rate. Because the future is uncertain, the expected payoff is the average of all possible outcomes multiplied by their probabilities.

The probabilities used in this calculation are the risk-neutral probabilities, which are different from the true probabilities because they adjust for risk. Therefore, the correct answer is d. all of the above.

To know more about risk-neutral valuation and  Risk-neutral valuation refer here:

https://brainly.com/question/29486081#

#SPJ11

Payments made with a debit card, credit card, automatic withdrawal, or wire transfer are typically made using an electronic funds transfer (EFT) form.

What is an EFT form?

Electronic Funds Transfer (EFT) is a term used to describe the electronic transfer of money from one bank account to another, either within the same financial institution or across several banks.

The purpose of the EFT is to reduce the amount of paperwork and physical handling of checks. By using EFT, payments are made and received electronically, which reduces the processing time and cost involved in making payments.

EFT is typically used for making direct deposit of salaries, refunds, dividends, and for paying bills, such as credit card bills, loans, utilities, taxes, and more.

Who uses EFT?

Electronic funds transfer (EFT) is used by businesses, government agencies, and individuals.

For example, an individual can use EFT to pay a credit card bill or transfer funds between bank accounts, while a business can use EFT to pay its suppliers or employees, receive payments from customers or other businesses, and pay its taxes, utility bills, or rent.

What information is required for EFT?

In order to complete an electronic funds transfer (EFT), a few pieces of information are needed, including the bank account and routing numbers, the name of the financial institution, and the name of the account holder.

For example, to set up direct deposit for an employee, the employer needs the employee's bank account number, routing number, and the name of the bank.

To learn more about EFT, refer below:

https://brainly.com/question/7161115

#SPJ11

When purchasing a used computer, it is important to consider a number of variables. The age of the computer is an example of one such variable to consider. Generally speaking, the older the computer, the less capable it may be at running newer applications.

This is because older computers usually have less RAM. Additionally, older computers may not be able to run the most recent operating systems.

Furthermore, when considering the age of the computer, you should check the year the machine was manufactured.  This is because any computer older than five years is likely to have components that are outdated and not suitable for use.

In addition to the age of the computer, other factors to consider include the condition of the machine, its specifications, and the presence of any software or hardware issues. All of these considerations should be taken into account when purchasing a used computer to ensure you are getting the best machine for your needs.

Know more about operating systems here:

https://brainly.com/question/6689423

#SPJ11

Given that the slope of the AE curve is 0.75, we need to find out the change in equilibrium expenditure due to a $100 increase in autonomous spending. Answer: Increase by $400

Explanation: Equation of AE curve is given as follows;

AE = C + I + G + NX Where, AE = Aggregate Expenditure

C = Consumption

I = Investment

G = Government spending

NX = Net exports Slope of AE curve = Change in Y-axis variable/Change in X-axis variable

Given that the slope of the AE curve is 0.75 which means that a change of $1 in autonomous spending will change the equilibrium expenditure by $0.75.

Now, a $100 increase in autonomous spending means that the change in autonomous spending will be $100.Using the slope of the AE curve, we can find the change in equilibrium expenditure.

Change in equilibrium expenditure = Slope × Change in autonomous spending= 0.75 × $100= $75

Therefore, a $100 increase in autonomous spending will increase the equilibrium expenditure by $75.Now, as per the given options, the closest answer is "Increase by $400". But since the actual change in equilibrium expenditure is only $75, none of the given options is correct.

For more such question on expenditure

https://brainly.com/question/28546579

#SPJ11

In order to compete within the motorcycle industry, companies need access to resources such as skilled labor, manufacturing capabilities, financial resources, and marketing capabilities.

When it comes to these resources and capabilities, Harley-Davidson compares favorably with other leading motorcycle companies.

Harley-Davidson has a long history of producing high-quality motorcycles and a strong brand that appeals to many different riders.

They have the financial resources to expand their product offerings and the production capabilities to produce reliable and powerful motorcycles.

Their marketing team has been successful in targeting different types of riders and gaining their loyalty. They also have a wide network of dealers and service centers around the world.

to know about Harley-Davidson;

https://brainly.com/question/13739763

#spj11

The ethical theory that states that one should "act only according to that maxim by which you can at the same time will that it should become a universal law" is Kantian.

What is a Kantian ethical theory? Kantian ethical theory is a non-consequentialist ethical theory that has as its primary goal the development of moral principles that one can use to govern behaviour. It is a deontological theory, as it teaches that ethical behaviour is not determined by its consequences but rather by its adherence to ethical laws and duties.

What is the definition of the categorical imperative? According to Immanuel Kant, the categorical imperative is an ethical rule that is unconditional or categorical. The categorical imperative is a rule of conduct that is not determined by the specific scenario in which it is employed but rather by the need to treat people with respect and dignity. The categorical imperative is divided into three variations by Kant.

For more such questions on ethical theory

https://brainly.com/question/15822545

#SPJ11


Answer: multiple factors

Explanation:

Rational need is when someone is motivated by achieving a goal, such as purchasing high priced jewelry to show off their wealth or status. Utilitarian need is when someone is motivated by practicality, such as purchasing high priced jewelry for long-term use or investment.

Hedonic need is when someone is motivated by pleasure, such as purchasing high priced jewelry because they enjoy the feel of wearing it or the compliments they get. Biogenic need is when someone is motivated by an internal drive, such as purchasing high priced jewelry to commemorate a special occasion or to express their love for someone.

In conclusion, when someone is purchasing high priced jewelry, they may be satisfying any of these needs.

Know more about Hedonic  here

https://brainly.com/question/28442945#

#SPJ11

The firm is holding an inventory of 12,500 units.

To calculate the days of supply, divide the inventory (12,500) by the number of units sold per day (35). This equals 357.14 days of supply. Therefore, the firm is holding approximately 357.14 days of supply of inventory, which is equivalent to approximately 1.4 years (or 260 days of operation per year).

To calculate the days of supply, you must divide the total inventory by the number of units sold per day. This gives you the number of days worth of inventory the firm is holding. By multiplying the days of supply by the number of days of operation per year, you can determine the number of years worth of inventory the firm is holding.

In this case, the firm is holding an inventory of 12,500 units, which is sold at a rate of 35 units per day. Dividing 12,500 by 35 yields a days of supply of 357.14, which is equivalent to 1.4 years of operation per year (260 days of operation per year).

To know more about inventory click on below link:

https://brainly.com/question/14184995#

#SPJ11

The total unit product cost of Gidget's Gadgets manufactured is $15.

To calculate the total unit product cost, we need to add up all the costs associated with producing one unit of product.

Total cost per unit = (direct materials + direct labor + variable overhead + (fixed overhead / number of units produced))

Total cost per unit = ($200,000 + $70,000 + $30,000 + ($500,000 / 20,000))

Total cost per unit = $300,000 / 20,000

Total cost per unit = $15

Learn more about product cost here:

https://brainly.com/question/28294479

#SPJ11

When answering questions on the Brainly platform, it is important to always be factually accurate, professional, and friendly. In addition, answers should be concise and relevant to the question being asked, and any extraneous information should be avoided. Typos or irrelevant parts of the question should not be ignored.

The scenario described in the student question is an example of trade creation. Trade creation is a situation that arises when a free trade agreement between two or more countries leads to increased trade flows between them. This can occur when one country is able to produce a particular good at a lower cost than another country, leading to increased imports and decreased production in the higher-cost country. In this case, the country that used to produce its own plastic bottles at a higher cost is now importing them from the other country at a lower cost, resulting in increased trade flows and lower costs for consumers.

Trade diversion, on the other hand, occurs when a free trade agreement leads to a shift in trade patterns away from more efficient producers to less efficient producers. This can occur when a country is able to a better trade deal with a less efficient producer than with a more efficient producer, resulting in increased imports from the less efficient producer and decreased imports from the more efficient producer. Dumping refers to the practice of selling goods in a foreign market at a lower price than in the domestic market, often with the intention of driving out competitors. Retaliatory trade action refers to measures taken by one country in response to unfair trade practices by another country. A political union refers to a group of countries that have formed a single politics entity, often with a common currency and shared institution

for such more question on politics

https://brainly.com/question/10744844

#SPJ11