When two countries engage in trade, each country should focus on producing goods in which they have a comparative __________ to maximize efficiency and benefits from trade.

When two countries engage in trade, each country should focus on producing goods in which they have a comparative advantage. This means that a country should specialize in making products that it can produce more efficiently than other countries. For example, if Country A can produce coffee more easily and at a lower cost than Country B, while Country B is better at producing cars, then Country A should focus on coffee and Country B on cars. By doing this, both countries can trade their specialized goods, leading to more efficient production and greater overall benefits. This way, each country gets the goods they need while using their resources in the best way possible.