E. In the real world, complete specialization does not happen
and trade barriers do exist. Usually this is in the form of tariffs
and other barriers to reduce imports. Several arguments are used to
explain why trade barriers are needed including protecting domestic
jobs and national security. Traditionally, the national security
argument has been used very selectively for specific industries
like. However, the recent Covid-19 crisis has put in sharp focus
the issue of fragile supply chains that span over...