International trade can accelerate growth through specialization from "summary" of Growth Theory by Robert M. Solow
In the realm of economic theory, the notion that international trade can fuel growth through specialization is a fundamental concept. The process of specialization involves countries focusing on producing goods or services in which they have a comparative advantage. This means that they can produce these goods or services more efficiently and at a lower opportunity cost than other countries. By engaging in international trade, countries can exchange these specialized goods or services with one another, leading to increased overall productivity and economic growth. When countries specialize in producing goods or services that they are most efficient at, they can increase their output and efficiency. This increased productivity can lead to higher econ...
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