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DanielleElmas [232]
3 years ago
8

If The United States has proven supplies of natural gas in the ground, but France doesn't, the United States has what kind of ad

vantage in terms of trade?
History
2 answers:
DENIUS [597]3 years ago
7 0
The United States will now be able to Export Natural Gas to nations that have a demand for Natural Gas, resulting in economic gain. This is opposed to France, who without Natural Gas supplies will now have to rely on importing from the U.S and other Natural Gas exporters.

In short, the U.S can make money off their natural resource, whereas France cannot and instead would have to spend by importing Natural Gas.
just olya [345]3 years ago
7 0

Answer:

Absolute advantage

Explanation:

When it comes to trade, there are two main concepts that we need to learn when it comes to advantages. These are absolute and comparative advantage. Absolute advantage occurs when a country can produce a particular product at a larger quantity and more efficiently than another country. This would be the case with natural gas in terms of the United States and France. Comparative advantage, on the other hand, includes the concept of opportunity cost in order to create a more holistic view.

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