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WAEC - Commerce (2015 - No. 40)

which of the following is a disadvantage of foreign trade
it encourages dumping
it widens the world market
it encourages specialization
it provides varieties of goods

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Excessive exports may cause quick depletion of natural resources of a country. Foreign trade may promote lopsided development if only those goods which have comparative cost advantage are produced in a country and lead to dumping of locally produced goods

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