HSC Economics Practice Questions - HSC Economics (NSW Higher School Certificate) Exam

What role do Transnational Corporations (TNCs) play in driving global trade flows?

They eliminate foreign direct investment across international borders. They conduct a substantial portion of world trade through intra-firm trade and foreign direct investment. They enforce international tariff rates on developing countries. They regulate national monetary policies of host nations.

Correct Answer:

They conduct a substantial portion of world trade through intra-firm trade and foreign direct investment.

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