Which of the following attributes of trade explain why it is important for economic prosperity?
A) Trade moves goods from people who value them less to people who value them more.
B) Trade makes it possible to produce a larger output as a result of lower per unit costs that often accompany large-scale production.
C) Trade makes it possible to produce a larger output as a result of gains from division of labor and specialization.
D) All of the above.

Question

Quizplus · Accepted Answer

Trade is important for economic prosperity because it reallocates resources to where they are valued more, reduces costs through economies of scale, and enhances productivity through specialization and division of labor.

Which of the Following Attributes of Trade Explain Why It