Because countries cannot produce all of the goods/services that it needs, they must(1 point)
Responses
Reduce the need for imports
Reduce the need for imports
Specialize and trade on a global scale
Specialize and trade on a global scale
Eliminate consumption of scarce goods.
Eliminate consumption of scarce goods.
3 answers
Increase domestic production.
Specialize and trade on a global scale
That is correct! Countries specialize in producing the goods and services in which they have a comparative advantage and then trade with other countries to obtain the goods and services they need but cannot produce efficiently themselves. This allows for increased efficiency and a wider variety of goods available to consumers.