The United States' comparative advantage over Japan in the production of rock-n-roll music implies that (for a similar quality of music)the
A)opportunity cost of production is less in Japan.
B)absolute cost of production is less in the United States.
C)absolute cost of production is less in Japan.
D)opportunity cost of production is less in the United States.
E)None of the above.

Question

Quizplus · Accepted Answer

Comparative advantage refers to the ability of a country to produce a certain good or service at a lower opportunity cost than another country. In this case, the US has a comparative advantage in the production of rock-n-roll music, meaning it can produce rock-n-roll music at a lower opportunity cost than Japan. Therefore, the answer is D, as the opportunity cost of production is less in the United States, which is the advantage that the US has over Japan in the production of rock-n-roll music.

The United States' Comparative Advantage Over Japan in the Production