Nations specialize when they _____.

A. Have few natural resources and are required to endure a trade deficit.
B. Export more than they import.
C. Import more than they export.
D. Produce certain goods and services more efficiently than other nations.

Respuesta :

d. produce certain goods and services more efficiently than other nations

The correct answer is D.

Specialization at the state level consists on dedicating the economic efforts and resources to the production of an specific product. There is a learning process attached to specialization, because it allows to achieve important productivy gains due to the broad experience acquired in that specific manufactuing process.

Such nation will end up gaining a competitive advantage, as it will be able to produce at a lower cost and therefore, be more efficiently than others.