Intra-industry trade may be associated with a smoother


Intra-industry trade may be associated with a smoother adjustment process than inter-industry trade because

firms engaged in intra-industry trade use less labor.

firms engaged in intra-industry trade use more labor.

labor can move more easily between firms in the same industry than between firms in different industries.

none of the above.

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Business Economics: Intra-industry trade may be associated with a smoother
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