Some MNCs may be 'footloose'; this means that they might locate in a country to gain the tax or grant advantages then move away when these run out.

True

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False

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Partly false

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Partly true

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Solution

The correct option is A True
The footloose industry is a general term for an industry that can be placed and located at any location without effect from factors such as resources or transport. These industries often have spatially fixed costs, which means that the costs of the products do not change despite where the product is assembled.

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Similar questions

Q. Which of the following statement is incorrect?

(1)

MNCs have less impact on the development process of the under developed countries.

(2)

Some MNCs may be 'footloose' i.e., to say - they might locate in a country to gain the tax or grant advantages but then move away when these run out.
Select the correct answer from the options given.

Fill in the blanks.

Indian buyers have a greater choice of goods than they did two decades back. This is closely associated with the process of ______________. Markets in India are selling goods produced in many other countries. This means there is increasing ______________ with other countries. Moreover, the rising number of brands that we see in the markets might be produced by MNCs in India. MNCs are investing in India because _____________. While consumers have more choices in the market, the effect of rising _______________ and ______________has meant greater ________________among the producers.

Q. Fill in the blanks.
Indian buyers have a greater choice of goods than they did two decades back. This is closely associated with the process of ______. Markets in India are selling goods produced in many other countries. This means there is increasing ________ with other countries. Moreover, the rising number of brands that we see in the markets might be produced by MNCs in India. MNCs are investing in India because ____________________ . While consumers have more choices in the market, the effect of rising ____________ and __________ has meant greater _________ among the producers.

Q. Certain countries offer lower tax rates than our country. As a result, wealthy people open bank accounts in these countries, and they escape the tax burden from our country. Identify the type of tax evasion that is seen in this situation.

Question 21
Two thermocol balls held close to each other move away from each other, when they are released. Name the force which might be responsible for this phenomenon. Explain.

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