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New Trade Theory Stresses That in Some Cases Countries Specialize

question 22

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New trade theory stresses that in some cases countries specialize in the production and export of particular products not because of underlying differences in factor endowments,but because in certain industries the world market can only support a limited number of firms.


Definitions:

Payee

The individual or entity entitled to receive payment in a transaction.

Electronic Banking

The use of computer networks and digital technologies to conduct financial transactions and access banking services.

On-us Item

A check or draft that is drawn on the same bank or one of its branches where it is being presented for payment.

Negotiable Instrument

A formal document guaranteeing the payment of a specific amount of money, either on demand or at a set time, with the payee's name either mentioned or left blank.

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