Comparative advantage stems from a difference in
A)relative efficiency.
B)absolute efficiency.
C)natural endowment.
D)tastes of consumers.

Name: Comparative advantage stems from a difference in A)relative efficiency. B)absolute efficiency. C)natural endowment. D)tastes of consumers.
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Question

Quizplus · Accepted Answer

Comparative advantage arises when a country can produce a good at a lower opportunity cost compared to another, which is related to relative efficiency, not absolute efficiency or other factors.

Comparative Advantage Stems from a Difference in