In a two-good,two country world,if one country has a comparative advantage in the production of one good,it can benefit by trading with other countries.

Question

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According to the principle of comparative advantage, if one country has a lower opportunity cost in producing a particular good, it can specialize in that good and benefit from trading with other countries that have a higher opportunity cost for producing that good. This results in a mutual gain for both countries as they can trade goods at a lower opportunity cost than producing them domestically.

In a Two-Good,two Country World,if One Country Has a Comparative