If one country can produce a product at a lower opportunity cost relative to another country, it has ____ advantage over the other country.

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Comparative advantage occurs when a country can produce a good at a lower opportunity cost than another country. This concept is key in international trade, allowing countries to benefit from specializing in goods where they have a comparative advantage and trading for others. Absolute advantage, on the other hand, refers to the ability of a country to produce more of a good using the same amount of resources as another country, which is not the focus of this question.

If One Country Can Produce a Product at a Lower