Vocabulary!!!
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Comparative Advantage
• A situation in which a country, individual,
company or region can produce a good at
a lower opportunity cost than that of a
competitor.
Specialization
• Concentration of activity in a few particular
tasks or in producing only a few items.
Interdependence
• The extent to which economic
performance (GDP, inflation,
unemployment, etc.) in one country
depends positively or negatively on
performance in other countries
Trade
• the commercial exchange (buying and
selling on domestic or international
markets) of goods and services