Question

Specialization eliminates Select one:

A. self-sufficiency.
B. mutual benefits.
C. scarcity.
D. dependency.
E. opportunity cost.

Answer 1

Specialization eliminates dependency and fosters interdependence between nations, leading to potential trade disputes or barriers. However, specialization also allows businesses to take advantage of economies of scale, resulting in lower production costs and increased overall productivity.

Step-by-step explanation:

Specialization eliminates dependency. When countries specialize in producing certain goods or services, they become dependent on other countries for the products they do not produce themselves. This fosters interdependence between nations and can lead to trade disputes or barriers. However, specialization also allows businesses to take advantage of economies of scale, resulting in lower production costs and increased overall productivity.