Differentiate between specialisation and choice as arguments in favour of free trade

Differentiate between an absolute advantage in producing some good and a comparative advantage. Specialization and the Gains from Trade. the potential benefits from free trade are large. For this reason, most economists are strongly in favor of opening markets and extending international trade throughout the world. Critics of free trade argue that with increased specialisation there will be intense competition to cut costs and therefore wages will have to fall. However, this point is not necessarily true because firms can compete by producing capital-intensive goods with better technology. Trade protectionism Trade protection is the deliberate attempt to limit imports or promote exports by putting up barriers to trade. Despite the arguments in favour of free trade and increasing trade openness, protectionism is still widely practiced. The motives for protection The main arguments for protection are: Protect sunrise industries Barriers to trade

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The United States both imports and exports petroleum (a broad term that includes exports, and imports of oil and other energy sources globally and by country, 

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14 Jan 2020 The trade balance tells a similar story, with China's surplus with the in itself may not lead to a full snap-back in global trade, with lingering 

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Phases of generic trade cycle

A trade cycle is the series of exchanges, between a customer and supplier, that take place when a commercial exchange is executed. A general trade cycle consists of: Pre-Sales: Finding a supplier and agreeing the terms. Execution: Selecting goods and taking delivery. Settlement: Invoice (if any) and payment.