6. Determine whether each statement is true or false. Developing countries stand to gain from international trade

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6. Determine whether each statement is true or false.

Developing countries stand to gain from international trade because

a. trade enables them to specialize in producing where they have a comparative advantage.

b. trade gives them access to the greater variety of goods produced abroad.

c. trade subjects their local producers to greater competition.

d. trade allows them to produce larger amounts than they could consume themselves, allowing them to take advantage of increasing returns to scale.

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Related Book For  book-img-for-question

Principles Of Microeconomics

ISBN: 9780393679199

3rd Edition

Authors: Dirk Mateer, Lee Coppock

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