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In International Commodity Agreements That Specify a Target Range for the Price

Question 1

Multiple Choice

In international commodity agreements that specify a target range for the price of a product, if the world price of the good is above the "ceiling" price, then a buffer stock agreement would require that the international agency __________ the product and an export quota agreement would require that countries __________ their exports of the Good.


A) sell; increase
B) sell; decrease
C) buy; increase
D) buy; decrease

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