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Trade Creation Refers To

Question 1

Multiple Choice

Trade creation refers to:


A) the redistribution of incomes derived from trade between industries in a country within a regional trade bloc.
B) an additional amount of international trade resulting from trade preferences that a nation grants to a trading partner.
C) a shift in international trade caused by one nation giving trade preferences to another, which can cause trade with a third country to decline.
D) the movement of goods or components of goods from a country outside a regional trade bloc to one within the bloc so that the seller can benefit from trading preferences within the bloc.

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