Specialization and trade results in all of the following EXCEPT:

Question

Goods and services being exchanged

A decrease in total economic output

More quality of life

People learning specific skills

Answer 1

Specialization and trade typically result in the following benefits:

1. Goods and services being exchanged.
2. More quality of life.
3. People learning specific skills.

However, they do not result in:

• A decrease in total economic output.

In fact, specialization and trade generally lead to an increase in total economic output as resources are used more efficiently and productivity is enhanced. Therefore, the correct answer is "A decrease in total economic output."