Question

How has globalization made countries more interdependent? Choose five answers.

Countries now rely on one another for vital resources.
Countries now rely on each other for new industries.
Countries now rely on one another for chances to import and export.
Countries now rely on one another to lower their GDP.
Countries rely on each other for cheaper products.
Countries now rely on one another for an employment base.

Answer 1

Selected answers: 1, 2, 3, 5, 6.

- Countries now rely on one another for vital resources: global trade and specialized production mean many nations import essential raw materials, energy, and food they don't produce domestically.
- Countries now rely on each other for new industries: foreign investment, technology transfer, and international supply chains help create and grow new industries across borders.
- Countries now rely on one another for chances to import and export: globalization expands market access so countries depend on trade to sell goods and buy what they need.
- Countries rely on each other for cheaper products: comparative advantage and global supply chains lower production costs and provide cheaper consumer goods.
- Countries now rely on one another for an employment base: offshoring, multinational firms, and migrant labor link jobs and employment opportunities across countries.

The false option is “Countries now rely on one another to lower their GDP,” which is incorrect—globalization does not make countries depend on others to reduce economic output.