Barriers to free trade create inefficiencies in the allocation of foreign resources.

Question

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Barriers to free trade, such as tariffs or quotas, can make it more difficult for foreign resources to be efficiently allocated. This can result in higher prices for consumers and limited competition for domestic producers. Without free trade, countries may not be able to take advantage of their comparative advantages, leading to inefficiencies in the global economy.

Barriers to Free Trade Create Inefficiencies in the Allocation of Foreign