The locomotive theory posits that growth in one or more large countries:
A)will retard the growth of smaller countries dependent on exports.
B)will lead smaller countries to open their economies.
C)can put pressure on their domestic import-competing firms.
D)can raise growth in other smaller countries that trade with these larger countries.

Question

Quizplus · Accepted Answer

The locomotive theory suggests that growth in larger countries can positively impact smaller countries that trade with them, leading to increased growth in those smaller countries. Therefore, choice D is the best answer.

The Locomotive Theory Posits That Growth in One or More