Dependence on others for goods and services; occurs as a result of specialization.

• A. Import
• B. Industry
• C. Innovations
• D. Interdependence

Answer: (D)

Interdependence is the idea that people or entities rely on each other to obtain goods and services, which grows when people specialize. When individuals or businesses focus on a narrow task or product, they become more efficient but must trade or buy what others produce. That mutual exchange creates dependence: the bakery relies on farmers and suppliers for inputs, while those suppliers depend on the bakery’s demand for bread. Imports describe goods brought into a country, industry is a broad sector, and innovations are new ideas or inventions; none of these capture the ongoing mutual reliance created by specialization as clearly as interdependence.