Which Trade Theory Contends That a Country That Initially Develops

question 20

Multiple Choice

Which trade theory contends that a country that initially develops and exports a new product may eventually become an importer of it and may no longer manufacture the product?

• A) Theory of factor endowments
• B) Theory of overlapping demands
• C) Economies of scale theory
• D) Product life cycle theory

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Definitions:

Gram-positive

Refers to bacteria that retain the color of the crystal violet stain used in the Gram staining method, indicating a thicker peptidoglycan cell wall.

Gram-variable

Refers to bacteria that do not consistently stain as gram-positive or gram-negative because of variability in the structure of their cell wall.

Clostridium Tetani

A bacterium that causes tetanus, characterized by muscle stiffness and convulsions, contracted through wound infections.

Gram-positive

Refers to bacteria that retain the crystal violet stain used in Gram's method of staining, indicative of a thick layer of peptidoglycan in the bacterial cell wall.