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    Exam 3: Sources of Comparative Advantage
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    When Transportation Costs Are Included in a Trade Model
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When Transportation Costs Are Included in a Trade Model

Question 21

Question 21

Multiple Choice

When transportation costs are included in a trade model


A) a country's gains from trade decreases
B) a country's gains from trade increases
C) a country's volume of trade increases
D) a country's terms of trade improve

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