The Two-Country Partial Equilibrium Model of International Trade Shows That

Multiple Choice

The two-country partial equilibrium model of international trade shows that:

A) international trade simultaneously affects consumer and producer welfare in both the importing and exporting economies.
B) in markets where a country is an exporter, consumers gain and competing domestic producers lose welfare.
C) in markets where a country is an importer, consumers lose welfare when the competition from foreign consumers forces them to pay more for the goods.
D) All of the above.
E) None of the above.