Question

Members of regional trade blocs tend to develop​ _____ diversity in the types of goods and services that their firms produce.
This has the effect of making per capita real GDP growth​ _____ stable, which tends to​ ______ economic growth.
A.
​less; less; decrease
B.
​more; more; increase
C.
​more; less; decrease
D.
​less; more; increase

Answer 1

The economic analysis above will be correct if Option B is selected. See the explanation below.

What is a regional trade bloc?

A regional trade bloc occurs when member nations who (may or may not be geographically near to one another) decide to form a trading arrangement that is flexible.

Hence, the correct statement is:

Members of regional trade blocs tend to develop​ more diversity in the types of goods and services that their firms produce.

This has the effect of making per capita real GDP growth​ more stable, which tends to​ increase economic growth.

Learn more about regional trade bloc at;

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