Which theory attempted to explain why a favorable balance of trade could only exist in the short run, since it would automatically be eliminated in the long run?
A) price-specie flow doctrine
B) theory of absolute advantage
C) theory of comparative advantage
D) theory of fluctuating incomes

Question

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The theory that attempted to explain why a favorable balance of trade could only exist in the short run, since it would automatically be eliminated in the long run is known as the price-specie flow doctrine.

Which Theory Attempted to Explain Why a Favorable Balance of Trade