Foreign trade ?
Correct answer: C. allows a country to have a greater variety of products at a lower cost than if it tried to produce everything to home.
- A. increase the scarcity of resources.
- B. makes a country more equitable.
- C. allows a country to have a greater variety of products at a lower cost than if it tried to produce everything to home.
- D. None of these
Explanation
Foreign trade enables countries to specialize according to comparative advantage and obtain goods more cheaply than if each tried to produce everything domestically. It also expands the variety of goods available to consumers.
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