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Specialize and trade. If other regions are really good at farming wheat, why bother farming it yourself when you can produce fish and grapes?
by c3534l 4y ago
Specialize and trade. If other regions are really good at farming wheat, why bother farming it yourself when you can produce fish and grapes?
- fsckboy 4y agotrade is ruled by comparative advantage: If country A is better at producing wheat, and country A is also better at producing fish, country B should focus on producing the one which it is less comparatively bad at producing, and then trade. That will give them the highest GDP/income.