Why is trade beneficial

Question

Quizplus · Accepted Answer

Trade allows each nation to specialize in producing goods and services that they are most efficient at producing. This leads to increased efficiency, better resource allocation, and increased productivity. It also leads to increased availability of a wider variety of goods and services at lower prices, which benefits consumers. Job creation for both domestic and foreign workers can be a byproduct of trade, but it is not the primary reason why trade is beneficial. Economic pressure on other nations is not a constructive outcome of trade.

Why Is Trade Beneficial