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Countries trade with each other when, on their own, they do not have the resources, or capacity to satisfy their own needs and wants. By developing and exploiting their domestic scarce resources, countries can produce a surplus, and trade this for the resources they need.
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Products and services previously available within one country are made available to new markets outside the country due to globalization. In addition, countries with positive relations between them are able to increasingly unify their economies through increased investment and trade.
Land echoes the arguments discussed previously: that free trade causes global inequalities, poor working conditions in many developing nations, job loss, and economic imbalance. But, free trade also leads to a "net transfers of labor time and natural resources between richer and poorer parts of the world
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