Which of the following is a cost associated with free trade? a. it will increase the availability of diverse products. b. it will increase global trade. c. companies may move production to other countries. d. consumers will pay lower prices.

C. Companies may move production to other countries.

Explanation:

This is one of the costs associated with free trade. Free trade refers to a policy by which a country does not restrict imports or exports. Instead, it allows goods to be traded with other regions with no restrictions. This has many benefits, such as lowering prices and increasing the variety of products. However, one problem is that it allows companies a lot of freedom to pursue profitable strategies. One of this would be moving production to other countries that are cheaper or that have more relaxed regulations.

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