Is said to exist when the formation of a regional trading group leads to an expansion of trade ?

Question

________ is said to exist when the formation of a regional trading group leads to an expansion of trade above pre-group levels.

a. Trade diversion

b. Trade distortion

c. Trade exclusion

d. Trade creation

Answer 1

d.  trade creation

it means that before the trade group was formed the barriers amoung the countries of the group restricted trade and after group formation and removal of those barriers the trade became more feasible and hense there was an expansion of trade above pre-group levels