Trade due to comparative advantage tends to be intraindustry.

Name: Trade due to comparative advantage tends to be intraindustry.
Brand: Quizplus
Rating: 4.7 (52 reviews)

Question

Quizplus · Accepted Answer

Trade due to comparative advantage tends to be interindustry, as countries specialize in the production of goods and services in which they have a lower opportunity cost, and then trade for goods and services in which they have a higher opportunity cost. This leads to increased efficiency and lower prices for consumers.

Trade Due to Comparative Advantage Tends to Be Intraindustry