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The United States has a comparative advantage over China on the production of specialized and capital-intensive labor. It also has a comparative advantage in the production of services, such as travel and tourism.
For this discussion, first play these simulation games in the MindTap environment:
Comparative Advantage (Without Trade)Comparative Advantage (With Trade)In your initial post, share your experience playing the games, and include an image of one of your simulation reports. (See Module Two Simulation Discussion Screenshot Instructions PDF.) Then address the following:
Countries trade goods just like the food trucks do in the simulation. Did the food trucks benefit from specialization and trade? How can the United States benefit from specialization and trade? Provide exles from the textbook.Research and share a current news article on international trade that supports the argument economists make in favor of free trade agreements (FTAs). In what ways is the article supportive of FTAs?
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