In the passage given below there are 8 blanks, each followed by a word given in bold. Each blank has four alternative words given in options (1), (2), (3) and (4). You have to tell which word will best suit the respective blank. Mark (5) as your answer if the word given in bold after the blank

In the passage given below there are 8 blanks, each followed by a word given in bold. Each blank has four alternative words given in options (1), (2), (3) and (4). You have to tell which word will best suit the respective blank. Mark (5) as your answer if the word given in bold after the blank is your answer. i.e. No Change Required.

As the economic role of multinational, global corporations expands, the international economic __(A)__ [nature] will be shaped increasingly not by governments or international institutions, but by the __(B)__ [formalities] between governments and global corporations, especially in the United States, Europe, and Japan. A significant factor in this shifting world economy is the __(C)__ [fiend] toward regional trading blocs of nations, which has a potentially large effect on the evolution of the world trading system. Two examples of this trend are the United States-Canada Free Trade Agreement and Europe 1992, the move by the European Community to dismantle __(D)__ [remedies] to the free flow of goods, services, capital, and labor among member states by the end of 1992. However, although numerous political and economic factors were __(E)__ [operative] in launching the move to integrate the EC’s markets, concern about protectionism within the EC does not appear to have been a major consideration. This is in sharp __(F)__ [response] to the FTA; the overwhelming reason for that bilateral initiative was fear of increasing United States protectionism. Nonetheless, although markedly different in origin and nature, both regional developments are highly significant in that they will __(G)__ [impostor] integration in the two largest and richest markets of the world, as well as __(H)__ [revoke] questions about the future direction of the world trading system.

Which of the following words most appropriately fits the blank labelled (E)?
1). Cooperative
2). Remunerative
3). Prerogative
4). Innovative

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