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    Principles of Economics Study Set 8
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    Exam 9: Application: International Trade
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    For Country A, the World Price of Textiles Exceeds the Domestic
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For Country A, the World Price of Textiles Exceeds the Domestic

Question 96

Question 96

True/False

For Country A, the world price of textiles exceeds the domestic equilibrium price of textiles. As a result, international trade allows sellers of textiles in Country A to experience greater producer surplus than they otherwise would experience.

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