One of the largest categories of exports from the United States is now pop culture: movies, music, TV programming, and videos. A direct conclusion from this information is that, compared to other countries, the United States has
A) lower wages for producers of pop culture.
B) higher wages for producers of pop culture.
C) an absolute advantage in producing pop culture.
D) a comparative advantage in producing pop culture.

Question

Quizplus · Accepted Answer

The United States having one of the largest categories of exports in pop culture suggests it has a comparative advantage, meaning it can produce these goods more efficiently relative to other goods compared to other countries.

One of the Largest Categories of Exports from the United