SPECIALIZATION

( people or country concentrate their effort on particular sets of tasts)

INDIVIDUAL COUNTRY
(specific skill ) (specific resources)

HIGHLY PRODUCTIVE WORKER COMPARATIVE & COMPETITIVE

ADVANTAGE

ECONOMIC EFFICIENCY

OUTPUT ----------- PRODUCTIVE EFFICIENCY

DIVISION OF LABOR
(dividing production into number of small specialized steps or tasks)

NETWORK OF TRADE
(trade their output for the commodities they need)

trade enrich all nations and increase every one’s living standard

WELFARE NATIONS

Competency of human resources

Science and technology
Entrepreneurship
Diplomacy