Darby Quast, Chapter 12, Question 6

A quote that stood out to me while reading chapter 6 was, "Productivity is what makes us rich.  Specialization is what makes us productive.  Trade allows us to specialize." (275)  I thought that this quote did a really good job of explaining the concepts of absolute advantage and comparative advantage.  When the factors of opportunity cost are not considered, there would be no reason for a country like the United States to trade with Bangladesh.  We can make t shirts just as well, if not better than they can.  Logically the United States would not even bother trading and making them all themselves.  The issue with this is the same people that know how to make t shirts, also know how to create airplanes.  This is why Tiger Woods doesn't do his own auto repairs, and why all of us don't own cows.  By being able to trade and have someone else do these things for us, we are allowed to use our time towards something we are better at and in the end have a more productive outcome.  This is why trade is so important because it increases the wealth and overall improves the quality of life for everyone involved.