Trade preference

Okay kiddo, have you ever traded toys with your friends? You might want their cool action figure, but they might want your stuffed animal instead. That's a type of trade.

Now, imagine if your parents said that you can only trade with your best friend because they're your favorite. That's like a trade preference - it means you're more likely to make a certain type of trade.

In the real world, countries sometimes have trade preferences too. They might agree to trade more with certain countries because they're friends, or because they have a history of doing business together.

Trade preferences can help countries work together and boost their economies. But some people argue that they can also create unfair advantages for certain countries, or make it tough for others to compete.

Overall, trade preferences are like rules about who countries decide to trade with - and they can have a big impact on the world we live in.