As per the Gravity Model of world trade, which of the following components of the two countries determine the volume of trade between them : (A) Gross Domestic Product (B) Distance (C) Foreign exchange rate (D) Foreign trade intensity (E) Foreign investment
Choose the correct answer from the options given below :
1
(A) and (B) only
2
(B) and (C) only
3
(A) and (C) only
4
(A) and (E) only