Final answer:
Nations trade with each other to take advantage of comparative advantage, allowing for specialization and access to a diversity of goods. Trade is exemplified by the exchange of commodities, agricultural products, and manufactured goods, but can be influenced by factors such as national security and cultural identity.
Step-by-step explanation:
Nations trade with each other primarily due to the economic principle of comparative advantage, which enables countries to specialize in producing goods and services at a lower opportunity cost than other nations. This specialization and trade allow nations to enjoy a greater variety of goods and services than they could produce on their own.
Examples of things nations trade with each other include commodities like oil, agricultural products, and manufactured goods such as electronics, cars, and clothing. However, trade can be affected by contemporary problems and issues such as political relations, national security, and the protection of domestic industries, which can create barriers to foreign trade.
For example, nations may restrict trade on certain imported products to protect key industries that are important for national security or a component of national identity, which can sometimes override economic interests. A country like Japan may find it difficult to import rice, even from a nation with a comparative advantage in production, because rice production is entrenched in Japanese culture.