Question

If a nation can produce a good or service at a lower cost than any other nation, what can you say about this nation?

Answer 1

Answer:

B. It has an absolute advantage with regard to that good or service.

Explanation:

If a nation can produce a good or service at a lower cost than any other nation, it means the nation has an absolute advantage with regard to that good or service.

For instance, if the cost of producing millet in China is lower than the cost of producing millet in Mali, then It is said that China has an absolute advantage in the production of millet.

Therefore, the answer is

B. It has an absolute advantage with regard to that good or service.