Ask Question
11 June, 03:14

The primary explanation of trade among nations is ricardo's theory of:

+2
Answers (1)
  1. 11 June, 03:31
    0
    Nations trade because of the comparative advantage that exists between them. That is, countries have different factor endowments and technological progress. As such, if a country can produce a certain good at a relatively lower autarky price or opportunity cost than other goods, better than other countries, it uses it to exchange for goods produced at better levels in other countries.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “The primary explanation of trade among nations is ricardo's theory of: ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers