Principles of Macroeconomics / Unit 17 MAC 1601 short lesson, about 20 seconds
Trade Is Mutually Beneficial Exchange
Captions available
The idea
Trade between countries is exchange that both sides expect to gain from, not a contest with a winner and a loser. Two firms can be each other's largest supplier and largest competitor at once.
In practice
Each does what it does best and buys the rest.
Where people slip
The language of winning and losing is imported from sport, and it misleads here.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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