Question

A physician who hires a plumber to fix a broken toilet is an example of.

Answer 1

Answer:

B) Comparative Advantage

Explanation:

Comparative advantage refers to a situation in which an individual can produce a good or service at a lower opportunity cost than another individual. The physician is specialized in dispensing medical advice. He or she would have to give up more time spent dispensing medical advice in order to fix a broken toilet than the plumber, who specializes in fixing toilets and has a lower opportunity cost (in terms of medical advice dispensed) for this task.