Which is the most accurate statement about trade?
O Trade helps rich nations and hurts poor nations.
Trading for a good can make a nation better off only if the
nation cannot produce that good itself.
O Trade can make every nation better off.
O Trade makes some nations better off and others worse off.



Answer :

Final answer:

Trade has benefits and costs, affecting nations and individuals differently. Comparative advantage theory highlights potential gains from trade for nations, although not everyone may benefit equally.


Explanation:

Trade is a complex phenomenon that has both positive and negative impacts. While trade has the potential to benefit nations through lower prices, higher quality goods, and economic growth, it can also lead to job losses, lower wages, and environmental damage. The principle of comparative advantage explains that specialization and trade can make all nations better off, but not every individual within a nation may benefit equally. Some may gain while others may lose, resulting in a redistribution of income.


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