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- Which of the following statements
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Card 121 / 145: Which of the following statements regarding trade is NOT true?
A)
Trade raises the price of goods for both trading partners.
B)
Trade makes people better off when preferences differ.
C)
Trade increases productivity through specialization and the division of knowledge.
D)
Trade increases productivity through specialization and production according to comparative advantage.
Answer:
A) Trade raises the price of goods for both trading partners.
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