Which of the following postulates the Gravity Model correctly ?  

1
The smaller and the closer the two countries are, the smaller the volume of trade between them is expected to be 
2
The larger and the closer the two countries are, the larger the volume of trade between them is expected to be.  
3
The larger and the closer the two countries are, the smaller the volume of trade between them is expected to be 
4
The smaller and farther the two countries are, the larger the volume of trade between them is expected to be. 

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