Asked by
Shelly Smith
on Dec 11, 2024Verified
Trade creates value by
A) moving goods from people who value the goods less to people who value the goods more.
B) permitting trading partners to expand output through specialization in areas where they each have a comparative advantage.
C) permitting trading partners to expand output through the adoption of mass production methods.
D) all of the above.
Value Creation
The process by which goods or services are provided that offer value to customers, thereby generating benefit to the producer or provider.
Comparative Advantage
a principle of economics that states a country or entity should produce goods and services for which it has a lower opportunity cost than its trade partners.
Specialization
involves focusing on a narrow range of products or services to gain efficiency and improve competitive advantage.
- Recognize the process by which transactions enhance worth and support the progression of the economy.
Verified Answer
KC
Learning Objectives
- Recognize the process by which transactions enhance worth and support the progression of the economy.