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How do limited resources affect trade?

Updated: 12/23/2022
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Nations trade globally due to limited resources. Basically, the same reason as to why we as individuals trade our leisure hours for labor hours, so we can make money and buy our necessities. Similarly, countries trade their resources for other resources that they need. For example, Saudi Arabia has oil that China needs and China has food stuff that Saudi Arabia needs. Limited resources


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They had limited land, and with a rising population to support, they turned to trade.


Why conserving scarce resources affects how quickly they are used up?

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The Ming dynasty created and expanded trade networks across Asia.


Reasons why countries trade?

Countries trade in order to maximize their products and production. By specializing in only some of their products a country can use the limited resources in the world more efficiently!


How did geography affect the development of the economy of the Phoenicians?

They had limited land to support a burgeoning population, so they turned to trade.


Profit maximization of out with limited resources?

When profit maximization is performed with limited resources, ration formulation is used. If an organization is without limited resources, no rationing is needed.


Why did ancient Greek colonies trade?

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