In addition to the positive welfare effects that free trade has on an economy, there are a variety of other benefits of international trade. Consider the Without free trade, Sapphira has market power as a local producer. Once free trade is implemented in the local economy, Sapphira is no longer able to raise its prices above competitive levels. The previous scenario represents which of the following benefits of free trade? Increased competition Increased variety of goods O Lower costs through economies of scale O An enhanced flow of ideas