Question

The gains from international trade generally tend to offer benefits to smaller, developing countries, more so...

The gains from international trade generally tend to offer benefits to smaller, developing countries, more so than large countries like the United States. Why might this be the case? Offer at least 2 reasons contrasting a country like Vietnam versus the United States.

Homework Answers

Answer #1

Reason 1. The Currency Value is basically higher in dvelopped countries comparing to developing and smaller countries. So that it's cost more to do this job in their home country like labour , capital. So that the developed countries has more offer benefits than the developping and small countries.

Reason 2. In Developing Countries they sell resources to gain profit but in the developed countries they are getting resources from other countries for their basic needs .

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