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Difficulty: EasyAdvances in Technology and Exchange

“Before containerization, loading a ship was a labor-intensive process, with dockworkers handling individual boxes, crates, and barrels of varying sizes. The introduction of the standardized metal shipping container in the mid-twentieth century allowed goods to be packed once at a factory and moved seamlessly by truck, train, and ship without being unpacked. This innovation reduced cargo-handling costs by over 90 percent and slashed the time cargo spent sitting in ports.”

Based on the passage, which of the following was a primary economic consequence of the introduction of standardized shipping containers?

  1. The rapid expansion of global supply chains and a significant reduction in the cost of international tradeAnswer
  2. B
    The complete homogenization of global cultures and the total elimination of regional consumer preferences
  3. C
    The creation of an eco-friendly global transportation network that successfully reduced environmental pollution
  4. D
    The initial transition from wind-powered sailing ships to coal-powered steamships

Answer

The rapid expansion of global supply chains and a significant reduction in the cost of international trade
The correct option is correct because the passage explicitly highlights how standardized shipping containers reduced cargo-handling costs and processing times. Historically, this technological breakthrough enabled the development of highly integrated, multinational supply chains and made global trade far more cost-effective.

Step-by-Step Solution

1
Analyze the stimulus provided in the prompt.
The text describes how standardized shipping containers reduced manual labor, lowered cargo-handling costs by over 90 percent, and decreased transit times at ports.
Understanding the direct impacts mentioned in the text helps identify the correct economic effect.
2
Evaluate the choices to find which one aligns with the economic consequences of reduced transportation costs and increased speed in the mid-to-late twentieth century.
Lower costs and faster transit directly facilitated the integration and growth of global supply chains, making international trade cheaper and more common.
Connecting the decrease in transportation costs to the broader historical trend of globalization reveals the correct answer.

Key Concept

Advances in Transportation and Global Trade
Estimated Time:45s
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