‘Trade within major trading blocs tends to expand, whereas this is not necessarily the case regarding trade between major trading blocs’. True or false?

‘Trade within major trading blocs tends to expand, whereas this is not necessarily the case regarding trade between major trading blocs’. True or false?
A . True
B . False

View Answer

Answer: A

Explanation:

This is true.

The purpose of creating or entering into a trading bloc is to increase the volumes of trade between countries within that bloc. This is irrespective of trade between blocs, which may grow or not, de-pending on circumstances.