Which of the following statements is false?
A) Intra-industry trade in manufacturing as a percentage of total manufacturing trade in Canada is over 70% in last 20 years.
B) Increasing diseconomies of scale is the main reason for increasing inter-industry trade.
C) Paul Krugman's theory of trade in differentiated manufactured products is an important extension to traditional trade theories.
D) Paul Krugman developed a trade theory based on economies of scale, product diversity and imperfect competition.
Correct Answer:
Verified
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