Asked by Perla Arceo-Valencia on May 06, 2024
Verified
Benefits from international trade are based on differences in the following areas, except
A) resource endowments.
B) technological capabilities.
C) product quality and other attributes.
D) income levels.
Resource Endowments
The natural, human, and capital resources that a country or region possesses, determining its economic potential and development opportunities.
Technological Capabilities
Refers to the knowledge, equipment, and processes that an organization has at its disposal to develop new products or improve existing ones.
- Comprehend the positive impact of global trade on national economies, especially the idea of consuming more than what can be produced within one's own country.
Verified Answer
AJ
Angela JoslynMay 12, 2024
Final Answer :
D
Explanation :
International trade benefits are primarily derived from differences in resource endowments, technological capabilities, and product quality or attributes, rather than differences in income levels. Income levels influence the demand side of trade rather than the comparative advantage that drives trade benefits.
Learning Objectives
- Comprehend the positive impact of global trade on national economies, especially the idea of consuming more than what can be produced within one's own country.