If the world price of a product rises relative to the domestic price in a trading nation, then, for that product,

A) exports and imports will increase.
B) exports and imports will decrease.
C) exports will increase and imports will decrease.
D) imports will increase and exports will decrease.

World Price

The international market price at which goods and services are traded between countries.

Domestic Price

The price of goods or services within a particular country, influenced by domestic supply and demand, taxation, and other economic factors.

Exports

Products or services that are manufactured in one nation and purchased by consumers in a different country.