Question

Country X specializes in the production of electronics. Country Y specializes in the production of textiles. The governments of the two countries signed a trade agreement last month to make it easier and cheaper to trade goods across their border. Claudia worked at an electronics factory in country X but lost her job two years ago. Last week, the company called and offered her a job, because it needs to hire more people to keep up with demand. David works at a textile factory in country Y. His manager has asked him to work overtime to fulfill the demand for the company’s textiles. He happily accepts, because he hopes to help his son and daughter with their college expenses next year. Why might countries X and Y have decided to sign this trade agreement?

Answer 1

Countries X and Y signed the trade agreement to increase demand for goods, output, and employment in their countries.

Step-by-step explanation:

Answer 2

Countries X and Y signed the trade agreement to increase the demand for goods, employment in their countries and output.

Step-by-step explanation:

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