Skip to content

Course home

6.1.2 benefits of specialisation and free trade (trade liberalisation), including the trading possibility curve

Why can free trade lower prices and widen consumer choice?

A

Imports come from the highest opportunity-cost producers, increasing choice and lowering prices.

B

Domestic firms produce every good at the lowest opportunity cost, increasing choice and lowering prices.

C

Governments restrict imports from inefficient producers, increasing choice and lowering prices.

D

Imports come from the lowest opportunity-cost producers, increasing choice and lowering prices.

6.1.2 benefits of specialisation and free trade (trade liberalisation), including the trading possibility curve Flashcards

  1. Intl A Level
  2. /Economics
  3. /6.1.2 benefits of specialisation and free trade (trade liberalisation), including the trading possibility curve

24 flashcards on CIE Intl A Level Economics 6.1.2 benefits of specialisation and free trade (trade liberalisation), including the trading possibility curve: the key terms and definitions you need to recall.