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Consider a country that is initially autarkic and then engages freely in international trade. If ...

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Consider a country that is initially autarkic and then engages freely in international trade. If ...

Consider a country that is initially autarkic and then engages freely in international trade. If this country has a comparative advantage in the production of soybeans, it will most probably

▸ import soybeans

▸ decrease the production of soybeans for domestic consumption.

▸ increase the production of soybeans for domestic consumption.

▸ increase the production of soybeans to allow for the export of soybeans.

▸ derive no advantage from any trade in soybeans.

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Microeconomics

Edition: 17^th

Author: Ragan

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