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Mutual gains from voluntary trade require differences in Select one:

A. absolute advantage.
B. external costs.
C. implicit costs.
D. comparative advantage.
E. depreciation costs.

User Maziyar
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1 Answer

3 votes

Final answer:

Mutual gains from voluntary trade require differences in comparative advantage.

Step-by-step explanation:

Mutual gains from voluntary trade require differences in comparative advantage. Comparative advantage occurs when one country has a lower opportunity cost of producing a specific good or service compared to another country. This means that each country can specialize in producing the goods or services for which they have a comparative advantage and then trade with each other, leading to mutual benefits.

User Yash Chavda
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