Lower Transport Costs That Result in Lower Prices for Chinese

Multiple Choice

Lower transport costs that result in lower prices for Chinese manufactures in the Canadian economy:

A) reduce Chinese domestic consumption of manufactured goods.
B) reduce Canadian imports of Chinese manufactures and increase the Canadian current account balance.
C) reduce Canadian exports of fuels and commodities to China and reduce the Canadian current account balance.
D) increase Canadian imports of Chinese manufactures and reduce the Canadian current account balance.