5. Which statement is false? (LO3) a) No nation will engage in trade with another nation unless it will gain by that trade. b) The terms of trade will fall somewhere between the domestic exchange equations of the two trading nations. c) Most economists advocate free trade. d) None of the above. 6. Our largest trade deficit is with (LO7) a) Japan d) Mexico b) Canada e) Germany c) China 7. Which of the following does not contribute to our huge trade deficit? (LO6) a) our dependence on automobile travel b) our addiction to consumer goods c) our shrinking manufacturing base d) our huge oil imports e) none of the above