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Question 1. Consider four countries, U.S., China, Belgium and Luxembourg, where U.S. and China are considered large and Belgium and Luxembourg small. a. Explain what
Question 1. Consider four countries, U.S., China, Belgium and Luxembourg, where U.S. and China are considered large and Belgium and Luxembourg small. a. Explain what is meant by a trade war. b. Which of the two countries are most likely to engage in a trade war ? Explain using the concept of Nash equilibrium and provide some intuition for your
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