What does specialization increase among individuals and nations?

Specialization enhances interdependence among individuals and nations by allowing them to focus on producing specific goods or services in which they have a comparative advantage. When individuals or countries specialize, they become more efficient in their production processes, ultimately leading to increased output. This means they produce more of certain goods and less of others.

As a result, individuals or nations will rely on each other to obtain the goods and services they do not produce themselves, creating a network of trade and exchange. This interdependency fosters collaboration and creates a basis for mutual benefit, as parties involved can trade the specialized products or services they have developed with one another, enhancing overall economic efficiency and welfare.

The other options do not accurately capture the essence of how specialization functions in an economic context. It does not promote independence, nor does it inherently lead to increased competition in a way that overshadows the benefits of cooperation and trade. While resource allocation is a part of the broader picture, the specific and notable result of specialization is the interdependence it creates among participating economic entities.