Asked by
Darcie Gauthier
on Nov 17, 2024
Verified
Trade can benefit everyone in society because it allows people to specialize in activities in which they have a comparative advantage.
Comparative Advantage
The ability of an individual, firm, or country to produce a good or service at a lower opportunity cost than competitors, leading to more efficient global production patterns.
Specialize
The process of focusing efforts and resources on a narrow area of expertise to increase efficiency and proficiency.
- Evaluate the implications of trade and specialization on an economy’s opportunities for production and consumption.
- Understand the significance of specialization and comparative advantage in promoting mutual reliance among people and countries.
Verified Answer
HC
Learning Objectives
- Evaluate the implications of trade and specialization on an economy’s opportunities for production and consumption.
- Understand the significance of specialization and comparative advantage in promoting mutual reliance among people and countries.
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