Which of the Following Statements Is True

question 233

Multiple Choice

Which of the following statements is true?

• A) If the domestic price of a good in a country is lower than the world price, the country will become an exporter of the good.
• B) Whether a country becomes an importer or an exporter of a good depends only on the domestic price of the good and is independent of the world price of the good.
• C) If the domestic price of a good in a country is lower than the world price, the country will become an importer of the good.
• D) Whether a country becomes an importer or an exporter of a good depends only on the world price of the good and is independent of the domestic price of the good.