A country with a domestic market is most likely to gain from international trade, in part because of its prospects of benefitting from .

Question

Quizplus · Accepted Answer

A country with a small domestic market is more likely to benefit from international trade due to economies of scale and learning by doing. This is because international trade allows access to larger markets and the ability to specialize in certain industries, which can lead to efficiency gains and lower costs of production. Additionally, exposure to new technologies and production methods through international trade can also lead to learning by doing, further improving a country's production capabilities.

A Country with a Domestic Market Is Most Likely to Gain