International trade based on the principle of comparative advantage creates a more efficient allocation of world economic resources.

Question

Meher Vishnu · Accepted Answer

Final Answer : True, Explanation :  Comparative advantage allows countries to specialize in the production of goods and services they can produce most efficiently relative to other countries, leading to a more efficient allocation of global resources, increased total output, and higher standards of living.

International trade based on the principle of comparative advantage creates a more efficient allocation of world economic resources.

Definitions

Learning Objectives

Learning Objectives

Related questions