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Growth of the Scarce Factor in the Large-Country Case Will

Question 19

Multiple Choice

Growth of the scarce factor in the large-country case will, other things equal,


A) always expand trade and improve the terms of trade.
B) expand both exports and imports and lead to an improvement in the terms of trade.
C) result in a protrade production effect and a deterioration in the terms of trade.
D) result in an ultra-antitrade production effect and an improvement in the terms of trade.

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