When a country exports and imports the same product to satisfy consumer demands for product variety,that country is engaged in:
A)deceptive trade.
B)duplicate trade.
C)intra-industry trade.
D)agglomeration.

Question

Quizplus · Accepted Answer

Intra-industry trade is the best choice as it refers to the trade between countries that involves the exchange of similar types of goods and services. This typically occurs when countries have a comparative advantage in different aspects of production or when consumer preferences demand a variety of product options. Therefore, when a country exports and imports the same product to satisfy consumer demands for product variety, it is engaged in intra-industry trade, not deceptive trade, duplicate trade or agglomeration.

When a Country Exports and Imports the Same Product to Satisfy