Economic interdependence is the outcome of specialisation and the division of labor, where self-sufficiency is superseded and individuals, regions, or nations depend on others to produce many or most of the goods and services they need to sustain their lives. This interconnectedness arises when different entities focus on producing specific goods or services more efficiently than others and then trade with each other to meet their diverse needs and wants. Economic interdependence can lead to increased efficiency, productivity, and overall economic growth by allowing for specialisation and economies of scale. However, it also means that disruptions in one part of the interdependent system can have ripple effects across other parts, creating vulnerabilities to economic shocks and global events. The rise of globalisation has significantly increased economic interdependence between countries, making national economies more reliant on international trade and financial flows.