A nation that enjoys a lower opportunity cost in the production of goods,relative to another nation,is said to have a(n)

Question

Quizplus · Accepted Answer

Comparative advantage is the ability of a country to produce a particular good or service at a lower opportunity cost than another country. This means that the country can produce a good or service at a lower cost, in terms of foregone production of other goods, than its trading partners. This is different from absolute advantage, which refers to a country's ability to produce a particular good or service more efficiently than another country. Therefore, the best choice is comparative advantage.

A Nation That Enjoys a Lower Opportunity Cost in the Production