Question

what role does competition play in international trade?
it results in higher prices.
it discourages imports.
it drives down prices for consumers.
it does away with the need for investment.

Explanation:

In international trade, competition among producers and exporters forces them to offer better - priced goods to gain market share. This benefits consumers as prices are driven down. Higher prices are not a result of competition but rather of monopolistic or oligopolistic situations. Competition does not discourage imports; in fact, it may encourage more imports as consumers seek better - priced goods. Also, competition does not eliminate the need for investment as producers need to invest to stay competitive.

Answer:

It drives down prices for consumers.