Free trade theory is an economic concept that advocates for the elimination of trade barriers, such as tariffs and quotas, allowing goods and services to flow freely between countries. This theory suggests that when countries engage in unrestricted trade, they can specialize in producing what they are most efficient at, leading to increased economic growth, consumer choice, and lower prices. It highlights the interdependence of nations in a global economy and the benefits of globalization.
congrats on reading the definition of free trade theory. now let's actually learn it.