Increases in total output realized when individuals specialize in particular tasks and trade are known as:
A)the gains from trade.
B)the profits obtained from sales of a good or service.
C)marginal analysis.
D)a trade-off.

Question

Quizplus · Accepted Answer

The gains from trade refer to the benefits that result from individuals specializing in particular tasks and trading with one another. This leads to an increase in total output and a more efficient allocation of resources.

Increases in Total Output Realized When Individuals Specialize in Particular