What is one common effect of a country specializing in a product where it has a comparative advantage?

When a country specializes in a product where it has a comparative advantage, it is able to produce that product more efficiently than other goods. This specialization typically leads to increased trade opportunities because the country can trade surplus goods, which are produced more economically, for other goods and services that it does not produce as efficiently. This exchange benefits both the exporting and importing nations by allowing them to consume a variety of products at lower opportunity costs.

Increased trade opportunities contribute to overall economic growth, as countries can capitalize on their strengths and access products or services that they may not produce as efficiently. This process not only fosters international relationships but also leads to greater market expansion, benefiting industries and consumers alike. As nations engage in trade, they can achieve a higher collective output and improved resource allocation, which underscores the importance of comparative advantage in the global economy.