A UK firm moves production abroad, where labour costs are lower, and imports the finished goods back to the UK. Which pair of effects is most likely?
The firm's costs may fall, but some UK production jobs may be lost
The firm's costs may rise, and UK production employment must rise
The firm's imports fall, and UK consumers must pay more
The firm's sales must fall, but every overseas worker gains
48 exam-style questions on AQA GCSE Economics 2.4 International trade and the global economy, covering 2.4.1a The importance of trade, 2.4.1b Advantages of trade and interdependence, 2.4.1c UK exports and imports, 2.4.2a How exchange rates are determined, 2.4.2b Effects of exchange rate changes, 2.4.3a Free-trade and its arguments, 2.4.3b Free-trade agreements such as the EU, 2.4.4a Features and growth of globalisation, 2.4.4b Benefits and drawbacks of globalisation, and 2.4.4c Moral, ethical and sustainability considerations. Each one has a worked solution and a mark scheme showing where the marks go.