Unit 4.1 · Benefits of International Trade

Limitations of the Theory of Comparative Advantage (HL only)

AO3HL

Syllabus Requirement

Assumptions such as full employment, constant opportunity cost, and no transport costs may not hold in real-world trade. Gains may also be unequally distributed.

Assessment Objectives
AO3Synthesis and Evaluation
HLThis topic is assessed at Higher Level only.

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