Producer a Has a Comparative Advantage Over Producer B If

question 56

Multiple Choice

Producer A has a comparative advantage over Producer B if, in producing a good:

• A) A has a higher opportunity cost of producing the good than does B.
• B) A has a lower opportunity cost of producing the good than does B.
• C) A can produce more of the good than B can in a given time period.
• D) A has to trade off more than B does to produce the good.

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