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Question
Salcia is a country that depends heavily on domestic products. The Salcian government decides on the products that can be imported and ensures that any product that can be produced at home is not imported. A major part of Salcia's trade is concentrated on exporting agricultural produce and textiles. Which of the following influences Salcia's approach to international trade?A.Mercantilism
B.Leontief's paradox
C.Product life-cycle theory
D.New trade theory
E.Neo-Ricardian trade theory
Answer
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