Which best explains why producers choose to specialize? Choose two answers.
A. to increase competition
B. to gain a comparative advantage
C. to decrease the amount of goods produced
D. to maintain market share
E. to increase efficiency
Answer (2)
Producers choose to specialize primarily to gain a comparative advantage and to increase efficiency. Specialization enables them to excel in their specific markets and enhance productivity by streamlining operations. This approach ultimately benefits consumers through better quality products and lower prices. ;
Producers choose to specialize primarily to gain a comparative advantage and to increase efficiency, which enhances productivity and quality. Specialization allows producers to focus on their strengths and streamline operations, ultimately benefiting consumers. This approach helps to create a more competitive market environment.
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