The theory which suggested that countries would mutually benefit from trade by specializing in export goods they could produce at a lower opportunity cost than another country is called:

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The theory which suggests that countries would mutually benefit from trade by specializing in export goods they could produce at a lower opportunity cost than another country is called comparative advantage. This theory was first introduced by economist David Ricardo in the early 19th century. It suggests that even if a country does not have an absolute advantage in the production of any good, it can still benefit from trade by specializing in the production of goods in which it has a comparative advantage.

The Theory Which Suggested That Countries Would Mutually Benefit from Trade