What is a true statement about how specialization increases productivity in a nation?

Question

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It allows a nation to allocate its resources more efficiently.
If a nation has an absolute advantage for producing a specific product, it should produce that product.
It enables a nation to be completely self-sufficient.
It enables a nation to diversify its agricultural production.

Answer 1

The true statement about how specialization increases productivity in a nation is:

It allows a nation to allocate its resources more efficiently.

Specialization helps nations focus on producing goods and services in which they have a comparative advantage, leading to more efficient use of resources and increased overall productivity.