Comparative advantage is the ability to produce a specific good or service at:
A)Lower opportunity cost
B)Higher opportunity cost
C)Lower tax threshold
D)Higher tax threshold

Question

Quizplus · Accepted Answer

Comparative advantage is the ability to produce a specific good or service at a lower opportunity cost.
Key Takeaway: When a manufacturer or producer is able to generate a specific good or service at a lower opportunity cost than another producer, this is referred to as comparative advantage. Comparative advantage, then, is the ability to produce a good or service efficiently, given that all other goods or services that could be produced.

Comparative Advantage Is the Ability to Produce a Specific Good