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How do subsidies distort trade patterns and lead

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Reference no: EM131602781

1. The U. S. has committed itself to creating a free trade zone between the U.S., Canada and Mexico. Why might this be important? Relative to imports and exports to other nations, what is the size of these two North American trading partners trade relationship with the U.S.?

2. What is the law of comparative advantage, and why is it important in international trade?

3. How do subsidies distort trade patterns and lead to inefficiencies?

Reference no: EM131602781

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