A relatively large amount of intra-industry trade would be associated with:
A) an index of intra-industry trade close to zero.
B) an index of intra-industry trade of .20.
C) a large amount of imports in a product category with few exports in the same product category.
D) an index of intra-industry trade close to 1.0.
E) an index of intra-industry trade of 2.0.

Question

Quizplus · Accepted Answer

An index of intra-industry trade close to 1.0 indicates a high level of trade within the same industry, where a country both imports and exports similar goods, suggesting a relatively large amount of intra-industry trade.

A Relatively Large Amount of Intra-Industry Trade Would Be Associated