Pretend there are only 3 countries in the world and only 3 products in the world.

Country A can produce product 1, product 2, and product 3.

Country B can produce only product 2 and product 3.

Country X can produce only product 1.

Should the Country A accept to trade with Country B? Should Country B accept to trade with Country A?

Should Country A or B accept to trade with Country X?

Explain why or why not using each of the first three classical theories of international trade: mercantilism, absolute advantage, comparative advantage.

1. According to classical theory 1: Mercantilism (Explained well and thoughtfully and related to the questions asked).

2. According to classical theory 2: Absolute Advantage (Explained well and thoughtfully and related to the questions asked).

3. According to classical theory 3: Comparative Advantage (Explained well and thoughtfully and related to the questions asked).