Question

Unless they face major trade barriers, the industries in any country tend to produce products for which they have a _____, which means that they tend to turn out those goods that have the lowest opportunity cost compared to other countries.

Answer 1

Answer:

Competitive advantage

Explanation:

This is one of the major reasons for international trade. It is claimed that industries that go global usually succeed in countries where they have great competitive advantage, except there are major trade barriers they face. It is highly likely that they will produce more of those goods that they have a strong hold and enjoy competitive advantage and lower opportunity cost compared to other countries.