Trade Creation Occurs When Imports from a Low-Cost Supplier Outside

question 103

True/False

Trade creation occurs when imports from a low-cost supplier outside of a customs union are replaced by purchases from a higher-cost supplier within the union.

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Definitions:

Slippery Slope

A logical fallacy or argument that suggests taking a minor action will lead to major and increasingly negative consequences, without sufficient evidence for those outcomes.

Police Corruption

Unethical or criminal acts conducted by police officers, often for personal gain or to further the interests of the police force at the expense of public trust.

Small Amounts

Quantities that are less than average or usual, often considered minimal or insignificant in size.

Citizen Review

A process or board which allows members of the community to participate in overseeing and reviewing the actions and operations of local police or other governmental bodies.