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Suppose Canada Produces Only Two Goods,corn and Automobiles

Question 75

Multiple Choice

Suppose Canada produces only two goods,corn and automobiles.If Canada has a comparative advantage in automobiles,a move toward free trade will


A) harm automobile workers, benefit corn workers, but benefit the nation as a whole.
B) harm automobile workers, harm corn workers, but benefit the nation as a whole.
C) benefit automobile workers, harm corn workers, but harm the nation as a whole.
D) benefit automobile workers, harm corn workers, but benefit the nation as a whole.

Correct Answer:

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