International Trade

Answer the following questions about your country: Based on your research,
does your country have an absolute advantage in any area of international trade? If
so, please describe this advantage and explain why you think they have this
characteristic. Remember: Absolute advantage is the ability of a country, individual,
company, or region to produce a good or service at a lower cost per unit than the
cost at which any other entity produces that good or service. Based on your
research, does your country have comparative advantages? Remember:
Comparative advantage refers to the ability of a party to produce a particular good or
service at a lower marginal and opportunity cost over another. Even if one country is
more efficient in the production of all goods compared to the other, both countries will
still gain by trading with each other, as long as they have different relative
efficiencies. Prepare a written summary of your findings, following the guidelines for
written assignments. You must include the following information in your summary: A
brief overview of the country you selected (fewer than 50 words) The advantage you
identified (absolute or comparative) Explanation and justification for making the
decision you did. For example, if you selected Latvia and decided that they have an
absolute advantage in Gizmos, you would include the following: Latvia accounts for
80 percent of the world Gizmo markets. The world market for Gizmos is _______ per
year; The reason why Latvia has an absolute advantage is _______; Latvia benefits
from this advantage by_______Paper details
Content: In your assignment, answer all questions from the instructions. This does not mean that your
paper should be prepared as a series of numbered short answers. You are to convert the questions into a
series of paragraphs that blend into a cohesive, logical series of thoughts and ideas. Generally, you can be
confident that your instructor is not interested in your repeating what the “textbook” has to say. The purpose
of this written assignment is for you to demonstrate what you think or conclude based on your reading and
understanding of the course materials and/or research.
Length: Your assignment is required to be 2-3 pages long. Title pages, pages of references, citations or
graphs DO NOT count towards the length of the paper.
Format: The assignment must be double-spaced, using no more than a 12-point font and standard margins
of no greater than 1” on all sides.
File Formats: Your Assignment must be submitted in an .rtf or Word file.
Citations: When citing a source that is not your original work, a citation must be provided. For all
assignments, your citations must conform to APA Style, which is the standard citation style for the business
disciplines.