(essay worth 5 points)
(05.04 mc)

why should countries specialize in producing goods with which they have a comparative advantage rather than an absolute advantage?

Reason why should countries specialize in producing goods:

Some other countries are there that can do it in a better way and will provide better quality also than others. The countries can concentrate on what they produce best with the help of the comparative advantage. The countries that generate goods can trade their products with other needy countries and can earn a lots of money, value and demand in international business, and vice-versa. This also helps countries to establish good relations with other countries and generates new job opportunities.

Some countries specialize in producing specific kinds of goods  which they can  have a comparative advantage because they can produce more of these kinds of  products in a more quality refined and effective way with supremacy in the quality of products or services. When countries attains efficiency in producing specific and certain goods by which they can earn comparative advantage it is really helpful in the development of the country.

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the answer is d.index