When describing the opportunity cost of two producers,economists use the term
A)natural advantage.
B)trading advantage.
C)comparative advantage.
D)absolute advantage.

Question

Quizplus · Accepted Answer

When economists are describing the opportunity cost of two producers, they use the term "comparative advantage." This refers to the producer who can produce a good or service with a lower opportunity cost than another producer. In other words, they can give up producing one good or service at a lower cost, allowing them to produce more goods or services overall.

When Describing the Opportunity Cost of Two Producers,economists Use the Term