Asked by Samuel Rajendran on May 24, 2024
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One of the key benefits of international trade is that it allows consumers and producers to benefit by exploiting each country's comparative advantage.
Comparative Advantage
An economic principle that suggests countries or entities should specialize in producing goods in which they have a lower opportunity cost, leading to more efficient global production and trade.
International Trade
The exchange of goods, services, and capital across international borders, influenced by agreements, tariffs, and global market dynamics.
- Acknowledge the benefits of international trade, including how countries can benefit from comparative advantages.
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Learning Objectives
- Acknowledge the benefits of international trade, including how countries can benefit from comparative advantages.
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