Question: The primary difference between absolute and comparative advantage is A . absolute advantage refers to the ability to produce a good or service at a
The primary difference between absolute and comparative advantage is
A absolute advantage refers to the ability to produce a good or service at a lower opportunity cost and comparative advantage refers to the ability to produce more of a good or service using the same amount of resources.
B absolute advantage refers to the ability to produce more of a good or service using the same amount of resources and comparative advantage refers to the ability to produce a good or service at a lower opportunity cost.
C absolute advantage is a concept that was utilized in communist countries and comparative advantage is a capitalist idea.
D absolute advantage can never change while comparative advantage depends on the relative cost of a good's resources.
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