A significant portion of actual world trade patterns results from
A) different factor endowments between countries.
B) the different tastes and preferences of people in different countries.
C) the industrial policies of governments.
D) different sizes of the countries.

Question

Quizplus · Accepted Answer

Different factor endowments between countries lead to comparative advantages, which significantly influence world trade patterns. Countries tend to export goods that use their abundant resources intensively and import goods that require resources they lack.

A Significant Portion of Actual World Trade Patterns Results from