Economists argue that unhindered international trade leads to an efficient outcome. What is meant by "an efficient outcome" in this context?

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An efficient outcome in this context means that resources are used in their most efficient way, leading to maximum productivity and economic growth. This is achieved through specialization and trade, where each country focuses on producing goods and services that it has a comparative advantage in, and then trades them with other countries that have a comparative advantage in other goods and services. This leads to a more efficient allocation of resources, where each country produces what it is good at and imports what it is not good at, thereby maximizing overall economic efficiency.

Economists Argue That Unhindered International Trade Leads to an Efficient