A country's newest ruler has decided the country will become self-sufficient and ceases trade with the rest of the world.The likely outcome of this action will be that the country's citizen's will be:

Question

Quizplus · Accepted Answer

By ceasing trade, the country will no longer be able to access goods and services that they cannot produce efficiently. If they possessed a comparative advantage in the production of a good, they will now need to produce more of that good for domestic consumption instead of exporting it. This shift in production will lead to an increase in the domestic price of that good, making it more expensive for consumers. This, in turn, will force the citizens to consume less than before. Therefore, the likely outcome of this action is that the country's citizen's will be forced to consume less than before if they possessed a comparative advantage in the production of a good.

A Country's Newest Ruler Has Decided the Country Will Become