How can trade be driven by self-interest?

Trade is fundamentally driven by self-interest because it enables individuals and nations to obtain more of what they want or need. When individuals engage in trade, they do so with the goal of improving their own situation, whether that means securing goods, services, or resources that they value more highly than what they are giving up. This self-interested approach fosters a marketplace where people are incentivized to offer goods and services that are in demand, thus enhancing overall productivity and efficiency in the economy.

In essence, trade allows individuals to specialize in what they do best and to exchange their surplus for other goods and services, leading to mutual benefits. As people act out of self-interest, they contribute to a dynamic economy that encourages innovation and growth. This creates a cycle where increased trade leads to greater prosperity for all participants, highlighting the power of self-interest in facilitating beneficial exchanges.