Explain why the basis of world trade can be simply stated as the result of equalizing an imbalance in the needs and wants of society on one hand and its supply of goods on the other.

Explain why the basis of world trade can be simply stated as the result of equalizing an imbalance in the needs and wants of society on one hand and its supply of goods on the other.



Trading goods between countries opens up the possibility for countries to specialize in what they are good at, without having to compromise on other products. Each country produces what they do best, and are able to profit the most from, while trading and import the goods that are costly for themselves to produce.


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