How does comparative advantage influence international trade? A. Comparative advantage restricts the possible trade partners for
most countries.
O B. Comparative advantage helps countries produce a wide variety of
OC. Comparative advantage encourages countries to limit the foreign
OD. Comparative advantage determines which goods a country should
goods for trade.
goods they import.
produce for export.

Comparative advantage suggests that countries will engage in trade with one another, exporting the goods that they have a relative advantage in. Absolute advantage refers to the uncontested superiority of a country to produce a particular good better.

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answer: capitalism and socialism are formal economies. the major differences between capitalism and socialism revolve around the role of the government and equality of economics. capitalism affords economic freedom, consumer choice, and economic growth.

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