According to the principle of ______, a country will gain from specializing in those goods that it can produce relatively cheaply.

Question

Quizplus · Accepted Answer

The principle of comparative advantage suggests that a country benefits by specializing in the production of goods for which it has a lower opportunity cost compared to other countries. This principle underpins international trade, where countries are encouraged to specialize in producing and exporting goods in which they have a comparative advantage, thereby maximizing economic efficiency and gains from trade.

According to the Principle of ______, a Country Will Gain