It increases the scope for efficiency gains through specialisation since it allows economies to make better use of their comparative advantage in international production. This reduces production costs and expands the production frontier, generating gains which are passed on to consumers through lower prices for many goods. Globalisation thus fosters economic prosperity and raises living standards.
6  BIS central bankers’ speeches  BIS central bankers’ speeches  7  8  BIS central bankers’ speeches  BIS central bankers’ speeches  9  10  BIS central bankers’ speeches