What should a country do if it has a comparative advantage in a product?
A) It should import that product.
B) It should export that product.
C) It should keep the product for domestic use since it is relatively inexpensive to produce.
D) It should lower the costs of production until realizing an absolute advantage.

Question

Quizplus · Accepted Answer

If a country has a comparative advantage in a product, it means that it can produce that product at a lower opportunity cost than other countries. Therefore, the country should export that product and specialize in its production, earning a higher income from selling it on the global market.

What Should a Country Do If It Has a Comparative