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International Trade
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International Trade
...... The theory of country size holds that countries with large land areas are more adopt to have varied climates and natural resources, and therefore they generally are more nearly self-sufficient than are smaller countries and that large countries production and market centers are more likely to be located at a greater distance from other countries which raises transport costs
According to the factor proportions theory, factors in relative abundance such as land, labor and capital are cheaper than factors in relative scarcity......
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