Question

Briefly explain how international trade increases a​ country's consumption. By specializing in the production of the goods and services in which they have ______________ a comparative an absolute a competitive ​advantage, countries allocate resources more efficiently. In other​ words, goods and services are produced at their lowest ____________ average opportunity accounting cost and world output increases.

Answer 1

Answer:

a comparative; opportunity

Explanation:

Comparative advantage is when a country is able to produce a product at a lower opportunity cost than others and the opportunity cost is the cost of not choosing the next best alternative available.

When a country specializes in the product where it has a comparative advantage which means that it can produce it more efficiently, the cost of not taking other alternative decreases.