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Given That Countries a and B Each Specialize in the Production

Question 42

Multiple Choice

Given that countries A and B each specialize in the production of one good and voluntarily
Trade it for the other country's good, then


A) only country A can experience positive gains from trade.
B) only country B can experience positive gains from trade.
C) both countries can experience positive gains from trade.
D) both countries experience negative gains from trade.

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