Let the price of Y be equal to one. If the price of X in terms of Y is less than the equilibrium price of X in terms of Y under free trade

Question

Accepted Answer

the nation importing commodity X will want to import more of X than at equilibrium

Answer

the nation exporting commodity X will want to export more of X than at equilibrium

Answer

the nation importing commodity X will want to import less of X than at equilibrium

Answer

the price of X in terms of Y will fall toward the equilibrium price of X in terms Y under free trade

Answer

all of the above

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