The differences in the ratios of exports to GDP across countries are believed to be caused primarily by
A)trade barriers.
B)each country's size.
C)monetary policy.
D)fiscal policy.
E) inflation in the domestic country.

Question

Quizplus · Accepted Answer

The ratio of exports to GDP tends to be higher for smaller countries as they are more reliant on international trade for their economic growth. Larger countries may have more diversified economies and may not rely as heavily on exports. Trade barriers, monetary policy, fiscal policy, and inflation can all impact the level of exports, but they are not the primary reason for differences in the ratio of exports to GDP across countries.

The Differences in the Ratios of Exports to GDP Across