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Assume,for Mexico,that the Domestic Price of Oranges Without International Trade

Question 9

Multiple Choice

Assume,for Mexico,that the domestic price of oranges without international trade is lower than the world price of oranges.This suggests that,in the production of oranges,


A) Mexico has a comparative advantage over other countries and Mexico will export oranges.
B) Mexico has a comparative advantage over other countries and Mexico will import oranges.
C) other countries have a comparative advantage over Mexico and Mexico will export oranges.
D) other countries have a comparative advantage over Mexico and Mexico will import oranges.

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