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amid [387]
3 years ago
7

Explain the difference between absolute advantage and comparative advantage. Provide an example to illustrate your explanation.

(5 points)
Social Studies
1 answer:
ELEN [110]3 years ago
5 0

Answer:

The difference between absolute advantage and comparative advantage is that absolute advantage is when a country requires less physical resources than another country to produce a particular good or service while comparative advantage is when a country has a lower opportunity cost than another country to produce a particular good or service.advantage.

Explanation:

For example, Florida has an absolute advantage over Canada in production of Orange Juice because we have the correct climate for oranges to thrive in, so we have a lot of them. A comparative advantage would be Country 1 can produce 100 units of a product using 100 workers, while Country 2 can produce the same amount of units but using 80 workers. So, Country 2, has comparative

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The correct answer is D. 
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