When a Producer Has an Absolute Advantage at Producing a Good

question 40

Multiple Choice

When a producer has an absolute advantage at producing a good, it means the producer:

• A) can produce more of that good than others with the same amount of resources.
• B) has the ability to produce a good or service at a lower opportunity cost than others.
• C) has no reason to trade with others.
• D) is less efficient than other producers.

---

Definitions:

Strokes

A medical condition that occurs when the blood supply to part of the brain is cut off, leading to brain damage and possibly causing paralysis, speech and language problems, and death.

Diabetes

A chronic condition characterized by high levels of sugar in the blood, caused by inadequate insulin production or response.

Biopsychosocial Model

An interdisciplinary model that examines the interconnection between biology, psychology, and socio-environmental factors in understanding health and illness.

Selye's GAS Model

A three-stage theory (General Adaptation Syndrome) that explains the physiological changes the body goes through when under stress.