Question

When Vanessa, a U.S. citizen, purchases a designer dress from Barneys of New York that was made in Milan, Italy, the purchase is: A. both a U.S. and an Italian import. B. a U.S. import and an Italian export. C. a U.S. export and an Italian import. D. neither an export nor an import for either country.

Answer 1

B. a U.S. import and an Italian export.

Step-by-step explanation:

A purchase can be considered as an import for a country if such good or service that is purchased in that country is produced and imported from another country or foreign country.

On the other hand, a purchase can be considered an export for a country if the good or service that is produced in that country is exported to a foreign country for purchase.

The designer dress purchased by vanessa, from Barneys of New York that was made in Milan, Italy can be regarded as a U.S. import and an Italian export.