1. The country of Dalima has long been a substantial exporter of agricultural goods, reflecting its unusual abundance of arable land; in contrast, its continental neighbor, Bundeeza, has excelled in the export of goods produced in labor-intensive manufacturing industries. The export policies of the two countries is best explained by
mercantilism.
theory of absolute advantage.
Heckscher-Ohlin theory.
theory of comparative advantage.
2. All of the following are shortcomings of the current WTO – led world trading system, except: Anti-dumping regulations Agricultural subsidies Communist countries reluctance to trade IP protection issues