1. According to the principle of comparative advantage Charles Woodson plays defensive back rather than receiver for the Green B
ay Packers because: (a) he plays defensive back better than he plays receiver. (b) his advantage as a defensive back exceeds his adva1. According to the principle of comparative advantage Charles Woodson plays defensive back rather than receiver for the Green Bay Packers because: (a) he plays defensive back better than he plays receiver. (b) his advantage as a defensive back exceeds his advantage as a receiver. (c) he is the best defensive back on the team. (d) the other receivers on the team are better than he is.ntage as a receiver. (c) he is the best defensive back on the team. (d) the other receivers on the team are better than he is.
According to the principle of comparative advantage Charles Woodson plays defensive back rather than receiver for the Green Bay Packers because his advantage as a defensive back exceeds his advantage as a receiver.
Option: B
Explanation:
The theory of comparative advantage depicts how a country can produce more goods instead of utilizing less services. In this way advantage of produced goods will be more in comparison with utilized services. When the profit margin exceeds used cost ratio it establish comparative advantage theory.
It is mainly effective in international trade and commerce where many goods are being imported and exported and taxes are collected on the basis of profit margin. Richardo establishes the theory of comparative advantage.
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