Differences in tastes among nations _____

Question

Quizplus · Accepted Answer

Differences in taste among nations mean that there may be a higher demand for certain goods in particular countries, even if those goods are not produced in that country. This creates an opportunity for trade, allowing countries to specialize in producing goods that they have a comparative advantage in and then trade with other countries. So, it makes gains from trade possible even in the absence of differences in resource endowments.

Differences in Tastes Among Nations _____