Which theory suggests that a country should produce and export those goods and services for which it is relatively more productive than other countries are and import those goods and services for which other countries are relatively more productive?

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This theory is known as the theory of comparative advantage, which suggests that countries should specialize in producing and exporting goods and services for which they can produce at a lower opportunity cost compared to other countries and import goods and services for which other countries have a lower opportunity cost of production. This leads to increased efficiency and gains from trade for all countries involved in international trade.

Which Theory Suggests That a Country Should Produce and Export