When a nation gives up fewer units of other goods and services than are given up by other nations to produce one unit of a product, that nation has a:

Question

Quizplus · Accepted Answer

A nation has a comparative advantage in producing a product if it can produce it at a lower opportunity cost than other nations. This means it gives up fewer resources or other goods to produce one unit of the product compared to other nations.

When a Nation Gives Up Fewer Units of Other Goods