Why were free trade zones created in china? a. to avoid governmental rules and conditions b. to attract investments by foreign countries c. to import technology more easily d. to control imports and exports

The answer is; B

These Special Economic Zones are given some freedom of free-market and governmental flexibility, unlike the bigger China as a country. This was enacted to attract foreign investment that may find the management systems (some autonomy from the central government) in these local regions conducive for investment. Some of the regions promoted tax incentives and local infrastructure without interference by central government.

Option B is correct.

Free Trade Zones are created in China to attract investment by foreign countries.

Further Explanation:

Free trade zones: These zones are special economic zones where goods may be manufactured, handled, re-exported, landed and without any interference from the customs authority.

Justification for correct and incorrect

A.

To avoid governmental rules and conditions: This option is incorrect.

The free trade zones are created in china in order to boost trade and attract foreign investment. It not created to avoid government rules and regulations but tostreamline customs and other duties.

B.

To attract investments by foreign countries: This option is correct

The free trade zones are situated in the areas thatprovide advantages like transportation facilities as airports and sea ports are situated nears the area and less or no customs duty.

C.

To import technology more easily: This option is incorrect

The aim of the free trade zones is to attract foreign investment and set the manufacturing unit in china and export the product or services to other countries.

D.  

To control imports and exports: This option is incorrect

They are set up to increase the export of the country and make the import of the goods easier. This is done by reducing the taxes and tariff and aslo make custom clearance easier.

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Answer details:

Grade: High School

Subject: Geography

Chapter:Development

Keywords:Why were free trade zones created in China, to avoid governmental rules and conditions, to attract investments by foreign countries, to import technology more easily, to control imports and exports

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