Within a country,the domestic price of a product will equal the world price if
A)trade restrictions are imposed on the product.
B)the country allows free trade.
C)the country chooses to import,but not export,the product.
D)the country chooses to export,but not import,the product.

Question

Quizplus · Accepted Answer

The domestic price of a product will equal the world price only if the country allows free trade. In this scenario, there are no trade restrictions imposed on the product, and the country is open to both importing and exporting the product.

Within a Country,the Domestic Price of a Product Will Equal