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A country specialization on a particular lets say technological path can be due to historical hazard. There isn't actually no means to expalin why the process comes out and turns the country to be technologicaly specialized on something. The hazard may be driven by the government technological policy, while investing on what is know as public technology i.e fundamental research. Brazil example shows that the country hability to built planes today in a result of long time investment on the domain, collaboration and coperation with different high tech countries.
Once a technological pattern emerges on a particular domain, it will drive to the Schumpeterian innovation process known as grape of innovation. There is always an innovator acting as a first mover, then followers enter the market. As the number of followers increase, the cost to produce the same technology will be decreasing, so much that, it will be cheaper to create that particular technology in that country, this is how the country becomes specialized on it.
This explanation assumes that every country will specialize on a single think according to both its resource endowments and the capacity to leverage the cost of production for that technology. This is the same as the Ricardo specialization pattern.
Now why do I consider it to be a historical hazar. The reason is simple, the dynamic comparative advantage pattern of specialization shows that even country without lots of ressource can also specialize on high tech, watch Japan and get what I mean.
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Why do countries specialize in certain goods?
Countries specialize in producing certain goods for many reasons, but the most common is the condition of the soil and climate.
In order for a country to specialize in production?
Countries specialize in producing certain goods for many reasons, but the most common is the condition of the soil and climate.
Is it typical for countries to be completely specialized?
It isn't to common for countries to specialize in one particular product as it allows for no fall back. Although countries often do specialize in more then one product so they have something to fall back on if one product line deteriorates.
Different countries often specialize in producing different goods What is a consequence of this?
The countries are more likely to trade with each other
Why is specialization a common result of free trade?
competition encourages countries to specialize in what they do best
What is tHe ability of countries to sPecialize in the production of certain goods is limited by the existence of what?
trade barriers :)
When tasks in an economy are specialized what exists?
"Division of labor. Dividing up tasks allows workers or countries to specialize in something specific."
Why do countries specialize?
They want to focus on the economic activities best suited to their resources hi are sr
Which providers specialize in import car insurance?
The providers that specialize in import car insurance are usually the Asian countries that have many visitors from the west. For example Japan has many providers for import car insurance.
What are the advantages and disadvantages of specialization on trade between countries in Southern and Eastern Asia?
the advantage is that when you specialize you can trade with other countries and get the product they specialize in the disadvantage is when you want to trade with someone to gain there product you end up losing more or another disadvantage is you might accedently trade with someone that has the same product as you
When tasks in an economy are specialized exists?
"Division of labor. Dividing up tasks allows workers or countries to specialize in something specific."
What is Heckscher-Ohlin's theory of International Trade?
Countries will tend to specialize in goods that utilize their abundant resources ( labor, minerals, etc.)
