Trade between two countries can benefit both countries if O each country exports that good in which it has a comparative advantage; O each country has a more elastic demand for the imported goods: O...

Extracted text: Trade between two countries can benefit both countries if O each country exports that good in which it has a comparative advantage; O each country has a more elastic demand for the imported goods: O each country produces a wide range of goods for export. O each country enjoys superior terms of trade3;