The negative effects of trade diversion are reduced when:
a. trade diversion is more than offset by trade creation.
b. consumers in the importing nation have a change in their buying habits.
c. there is a cost increase in nations outside the region.
d. the free-trade agreement includes more members.
Ans: a. trade diversion is more than offset by trade creation.
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The___________is a listing of the various quantities of a particular product supplied at at all possible prices in the market.
Fill in the blank(s) with the appropriate word(s).
If there is an excess demand for bonds at a given price of bonds, then
A) the interest rate will fall. B) the interest rate will rise. C) the price of bonds will fall. D) the interest rate may rise or the interest rate may fall depending upon the reasons for the excess demand for bonds.