The comparative advantage is known as the ability of a person, company or country to produce a good using relatively less resources than another. In this case, among the countries on the list, India has a comparative advantage since the hourly cost of workers is lower. This advantage can be translated in two ways: 1. The cost per hour of producing glasses is lower. 2. With the same money set aside for wages, more workers can be paid in India, resulting in increased production of cups.
