Question

What distinguishes comparative advantage from absolute advantage in production?(1 point)

Responses

A country has comparative advantage in production when it requires more total inputs than does another country to produce the same output.
A country has comparative advantage in production when it requires more total inputs than does another country to produce the same output.

A country has comparative advantage in production when its opportunity costs of producing a good are lower than another country's.
A country has comparative advantage in production when its opportunity costs of producing a good are lower than another country's.

A country has comparative advantage in production when it requires fewer total inputs than does another country to produce the same output.
A country has comparative advantage in production when it requires fewer total inputs than does another country to produce the same output.

A country has comparative advantage in production when its opportunity costs of producing a good are higher than another country's.
A country has comparative advantage in production when its opportunity costs of producing a good are higher than another country's.

Answer 1

[AI-generated answer — Bot GPT 3.5]

A country has comparative advantage in production when it can produce a good at a lower opportunity cost than another country. This means that the country can produce the good more efficiently, either because of lower input requirements or higher productivity. In contrast, absolute advantage refers to a country's ability to produce a good using fewer resources or more efficiently compared to another country. Essentially, comparative advantage is based on opportunity costs, while absolute advantage focuses on the overall efficiency of production.