It is possible to have a comparative advantage in producing a good or service without having an absolute advantage.

Question

Quizplus · Accepted Answer

Comparative advantage refers to the ability to produce a good or service at a lower opportunity cost compared to another producer. This means that even if one producer cannot produce the good or service more efficiently (i.e. does not have an absolute advantage), they may still have a comparative advantage if their opportunity cost of production is lower than the other producer's.

It Is Possible to Have a Comparative Advantage in Producing