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Gains from trade

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In economics, gains from trade are the net benefits to economic agents from being allowed an increase in voluntary trading with each other. In technical terms, they are the increase of consumer surplus[1] plus producer surplus[2] from lower tariffs[3] or otherwise liberalizing trade.[4]

  1. ^ Alan V. Deardorff, Deardorff's Glossary of International Economics, 2010. Consumer surplus.
  2. ^ Deardorff's Glossary of International Economics, 2010. Producer surplus.
  3. ^ Deardorff's Glossary of International Economics, 2010. Tariff.
  4. ^ • Deardorff's Glossary of International Economics, 2010. Trade liberalization.
       • Deardorff's Glossary of International Economics, 2010. Gains from trade.
       • Paul A. Samuelson and William D. Nordhaus, 2004. Economics, Glossary of Terms (end), "Gains from trade", McGraw-Hill.

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