QuestionJuly 15, 2025

If a country has an absolute advantage in producing a good, it means that: a. the opportunity cost of producing the good is the lowest in that country. b. the country is able to produce that good using fewer resources than other countries. c. the productivity of workers in that country is lower than that in all countries. d. the country produces as many units of the good as demanded domestically.

If a country has an absolute advantage in producing a good, it means that: a. the opportunity cost of producing the good is the lowest in that country. b. the country is able to produce that good using fewer resources than other countries. c. the productivity of workers in that country is lower than that in all countries. d. the country produces as many units of the good as demanded domestically.
If a country has an absolute advantage in producing a good, it means that:
a. the opportunity cost of producing the good is the lowest in that country.
b. the country is able to produce that good using fewer resources than other countries.
c. the productivity of workers in that country is lower than that in all countries.
d. the country produces as many units of the good as demanded domestically.

Solution
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Answer

b. the country is able to produce that good using fewer resources than other countries. Explanation 1. Identify the Definition of Absolute Advantage Absolute advantage refers to a country's ability to produce a good using fewer resources than other countries.

Explanation

1. Identify the Definition of Absolute Advantage<br /> Absolute advantage refers to a country's ability to produce a good using fewer resources than other countries.
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