Which one of the following is not one of the dynamic gains from trade?
A) A country uses its resources less efficiently.
B) Firms in small countries can grow to the most efficient size.
C) It may increase the quality of the goods consumed.
D) Markets in a country may become more competitive.
E) negative externalities.

Question

Quizplus · Accepted Answer

Dynamic gains from trade include factors that enhance a country's economic growth and efficiency over time, such as firms growing to efficient sizes, improving product quality, and increasing market competitiveness. Using resources less efficiently is not a dynamic gain from trade; it contradicts the principle of trade enhancing efficiency.

Which One of the Following Is Not One of the Dynamic