Explain the Three Key Predictors of Happiness

question 18

Essay

Explain the three key predictors of happiness.

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Definitions:

Specialization In Production

The process by which businesses or economies focus on producing a limited range of goods or services to gain greater efficiency and productivity.

International Trade

The exchange of goods and services between countries, allowing for specialization, more efficient production, and access to a broader range of products.

Absolute Advantage

The ability of an individual, company, or country to produce more of a good or service with a given amount of resources than competitors.

Comparative Advantage

The ability of an entity to produce a good or service at a lower opportunity cost than others, leading to trade benefits.