Business Comparative Advantages among China and the USA Discussion

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Over the years, economic theories have developed to provide the current framework for the basis of trade, terms of trade, and gains from trade. For this week’s discussion, please:

  • Select two countries of your choice other than Saudi Arabia and appraise their absolute advantages.
  • Then, compare and contrast these countries’ comparative advantage(s).
  • What economic policies will strengthen the comparative advantage of these two countries?
  • Will the global supply contribute to an expansion or a contraction of the comparative advantage. Why?

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