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MrMuchimi
3 years ago
15

Even with international​ trade, countries rarely specialize because A. Some countries do not have a comparative advantage in any

good. B. Production of most goods involves increasing opportunity costs. C. Some countries do not have an absolute advantage in any good. D. Some countries would lose as a result of free trade.
Business
1 answer:
Rina8888 [55]3 years ago
8 0
Letter A marks the spot
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Countries are interconnected today as never before. From eating foods from different countries to singing along to songs perform
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This is tough to answer in 3-5 sentences, and tends to also be a heavy identifier of your possible political leanings.  You'll have to apologize if some of mine leak out in the response, but this is a question we debate hotly more frequently than every 4 years.

In general, international trade can help increase the GDP and overall profits for US-based corporations.  However, if all we do is export, and we don't import, other countries don't look favorably upon that and may heavily tax our goods to counter this.

I believe we do need to be thoughtful about the amounts and kinds of international trade that we engage in.  For example, farming is always a hotly debated issue for international trade, in part because farmers in other countries with a dramatically lower cost of living OR farmers in countries with a favorable currency rate (exchange from their currency to our dollars gives them an advantage) can undercut our farmers here in the US, many of whom are already struggling.

There are also those who are worried that when we import produce from countries that have not outlawed pesticides we know are carcinogenic, for instance, this creates not only a disadvantage for US farmers, but also for consumers who may be concerned about health issues.

As another example of this, many countries outlawed import of US beef during the Mad Cow Epidemic.  We in turn also placed bans on importing beef from the UK.  

These are examples of why it's important to be thoughtful about trade, but there are certainly many others, including decline in production jobs within the US that have left cities like Detroit a ghost town (this was formerly the hub of our automotive industry production).
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3 years ago
Switching costs, the number of buyers, and if the items represent a relatively small portion of the cost of finished products ar
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Switching costs, number of buyers, and if the items represent a relatively small portion of the cost of finished products are key considerations regarding the bargaining power of buyers.

Switching costs are the costs which are paid by a consumer as a result of switching brands, suppliers, or products. Some companies may employ high switching costs in order to prevent customers from moving to another brand.

Suppose if the customer purchases large volumes of standardized products from the seller, then the buyer's bargaining power is quite high.  Also, when substitute of a product is available in the market, the buyer power increases.

Hence, most prevailing switching costs are monetary in nature.

To learn more about switching costs here:

brainly.com/question/15561738

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7 0
1 year ago
The real interest rate tells you Question 31 options: how fast the number of dollars in your bank account rises over time. how f
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The real interest rate tells you how fast the purchasing power of your bank account rises over time.

<h3>What is meant by the real interest rate?</h3>
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<h3>What is real and nominal interest rate?</h3>
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<h3>Why real interest rate is important?</h3>
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