Question: Trade increases among two countries can take two forms: each country becomes more specialized and therefore exports and imports different goods (e.g. France sells wine

Trade increases among two countries can take two forms: each country becomes more specialized and therefore exports and imports different goods (e.g. France sells wine and Germany sells beer), or both countries compete more directly on similar goods (e.g. France and Germany sell cars to each other). How do these alternatives affect the OCA criteria?

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