comparative advantage?

Answer 1

whats your question? What comparative advantage is? Well, its when 2 countries, companies, or people/persons do the same or similar task for a lesser cost. The reasons could be cheaper workers, cheaper raw materials, newer or better technology, faster or more skilled workers, etc etc. BUT, not because of cheaper pricing. So, overalll, its how much it costs Country A to make one widget versus Country B.

Answer 2

I don't know exactly what the question is, but I will assume you want an explanation as to what comparative advantage is. Comparative advantage is the concept that when two individual entities (people, countries, etc.) are able to perform two different actions, each of them will be able to perform one task by giving up less of the other, or at a lower opportunity cost. For example, let's say the two entities are you and me, and the tasks we can perform are sweeping floors and cleaning ovens. If in a single hour, I can sweep 4 floors or clean 2 ovens, and in the same hour you can sweep 3 floors or 1 oven, I have the absolute advantage in both. I can sweep more floors and clean more ovens than you in the same time period. I do not have the comparative advantage in both though. In order for me to sweep a floor, I have to give up 1/2 of a clean oven. You, on the other hand, only have to give up 1/3 of a clean oven. You give up less each time you sweep a floor, so you have the comparative advantage in floor sweeping. Hope this makes sense.

Answer 3

O RLY?