Globalization means that companies can manufacture, finance, and market products worldwide, giving them access to over 6 billion potential customers globally compared to only 32 million in Canada alone. Countries trade goods they have a comparative advantage in, such as resources or technology. However, some countries use protectionist policies like tariffs and quotas to limit imports and protect local producers, despite the overall economic benefits of free trade. Protectionism can take many forms including tariffs, quotas, regulatory standards, paperwork requirements, and embargoes.

1. Chapter 3 Competing in Global Markets

6. Theories of Advantage Output per Unit of Input Comparative U. S. China Software U. S. China Clothing

7. Theories of Advantage Absolute Output per Unit of Input Copper Production Zambia The Rest of the World = Virtual Monopoly