What is one advantage of international trade for countries?

International trade offers numerous advantages to countries, and one significant benefit is the promotion of increased competition, which in turn reduces the likelihood of monopolistic practices. When countries engage in trade, they open their markets to foreign goods and services. This influx of imports can lead to heightened competition for domestic companies, compelling them to improve their efficiency, innovate, and maintain reasonable pricing for their products.

In a competitive environment, monopolies find it more challenging to sustain dominance because the availability of alternatives allows consumers to choose different options, thereby reducing the monopolistic power that any single company might hold. As companies compete against international players, they are motivated to enhance product quality and customer service, ultimately benefiting consumers.

The other options do not align with the advantages that international trade offers. The idea that each country should grow all needed resources suggests a level of self-sufficiency that is impractical in today's interconnected global economy. Increased dependency on trade is counterproductive to the notion of achieving greater economic resilience. Finally, the suggestion that all countries should produce the same goods dismisses the benefits of specialization and comparative advantage, where countries focus on producing what they can manufacture most efficiently. This specialization enables a more efficient allocation of resources and maximizes global output.