14
QuizMultiple Choice

The Modern Global Economy — Unit test

Question 14 • Contemporary Issues

Why does specialization often result from international trade?

Answer
A
Nations take advantage of resources available to them.
B
Nations generally trade only one type of good or service.
C
Countries train their workers to create the most expensive products.
D
Countries profit most when businesses import resources needed to produce goods.

Explanation

International trade lets nations focus on producing goods and services they can make efficiently using resources they have readily available. They can then trade those products for things other countries produce more efficiently. This is why specialization often results from trade; the correct choice is “Nations take advantage of resources available to them.”

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