Chelgren, Anders, chapter 11, question #6

The passage that I found most significant is the one about goods and services. I was amazed to realize that "in a modern economy more than three quarters of goods and services are non tradable." Wheel an uses haircuts as an example. Haircuts have a benifits to individuals however their purchasing power is relatively universal. A haircut is a haircut no matter what part of the world your in. Therefor, trading a haircut in America for something else in another country is not very beneficial to the world economy. This is why goods can be easily traded internationally, while most services must happen is a local enviornment.