Question

What is the difference between absolute advantage and comparative​ advantage?   A. Comparative Absolute advantage is the ability of an​ individual, a​ firm, or a country to produce a good or service at a lower opportunity cost than competitors. B.While comparative absolute advantage is the ability of an​ individual, a​ firm, or a country to produce more of a good or service than competitors when using the same amount of resources.C. A country will always be an exporter of a good where it has a competitive an absolute a comparative advantage in production.

Answer 1

Answer:

Option A

Explanation:

The word absolute means , in total, means with the absent of none, it was completed.

The absolute advantage here in economics is the ability of an organization or individual to produce an item at a lower cost and at a cheaper price, with the absence of no additional expenses,. but comparative advantage is a calculated move by an organization, whereby a closer look at the competitors , opportunity cost is used to make production.

Based on the answer choices, the answer that explains the difference is Option A because, option A states that a comparative absolute advantage is the ability of an individual to produce goods at a lower opportunity cost than competitors, that opportunity cost stated there is the condition when using comparative advantage