MCQOPTIONS
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| 1. |
In its most basic form, the gravity model says that the most important factors that describe the amount of trade between countries are |
| A. | the cultural affinity between the countries and the existence or lack of a common language. |
| B. | the tariff barriers between the countries and the costs of transportation. |
| C. | differences in wages and technology between countries. |
| D. | the amount that the countries produce and the distance between them. |
| Answer» E. | |