How does trade affect the well-being of the nations involved?
A) Trade makes every nation better off.
B) Trade makes exporting nations better off and importing nations worse off.
C) Trade makes a nation better off only if the nation cannot produce that good itself.
D) Trade makes rich nations better off and poor nations worse off.

Question

Quizplus · Accepted Answer

Trade generally has a positive effect on the well-being of nations involved as it allows for specialization, increased competition, and access to a broader range of goods and services at lower costs. This leads to economic growth, improved living standards, and increased consumer choice. However, there may be some negative effects for some individuals, sectors, or regions that may need to be addressed through appropriate policies. Overall, the net effect of trade is usually positive for nations that participate in it.

How Does Trade Affect the Well-Being of the Nations Involved