The United States contribution to comparative advantage
In comparative advantage across borders, there is mutual benefit for the exporting country and importing countries. Different countries have to specialize in a given line of production. With comparative advantage, like in our case, it should be assumed that the whiffle balls are made with the least opportunity cost. The United States is able to afford the living standards exhibited by itself as largely contributed by comparative advantage.
Comparative advantage bears fruit for both the consumer and the producer in different levels. The government has to formulate strategies that have public interest at heart and must deliberate on the consumer benefits from trade within the country itself at first. If there are valid motives for the government’s involvement in international trade, domestic local consumers of the balls must come first. For the producers, opening the borders is one sign of care from the government. One of the most obvious benefit is that despite selling locally, an avenue is provided to sell to other countries. This is an expansion to new markets that gives producers an opportunity to make more sales hence more returns for the country. In return, this leads to revenue creation for the producers both from sales within the country and those from outside.
International trade, particularly at developed stages, is a market driven spectacle. The producers will be interested to hear that there are more openings for them to market and consequently sell their products. With comparative advantage, our own producers are able to make the balls at distinctively low prices and thereafter sell them at normal market prices while attracting profits. When the balls are exported, chances are high that the selling price can be exaggerated from that which is offered to the locals. In whichever country we export to, its locals will regard the imports as valuables and rank them highly. The more you can export, the higher the returns.
References
Consumer Benefits from International Trade Trade Policy should Focus much more on Consumers. Retrieved from https://www.jec.senate.gov/public/_cache/files/fc5e8da1-a5bc-43b6-8ebe-ebbbfdf6e3fd/may-14-2015-republican-staff-analysis-consumer-trade-benefits.pdf