Asked by Mathew Temisan on Jul 07, 2024
Verified
Refer to Scenario 3-1. Which country, if either, has an absolute advantage producing rice? Defend your answer.
Absolute Advantage
An entity's capability to manufacture a good or render a service with greater efficiency and less resources compared to its competitors.
Rice
A staple food grain that is a primary food source for more than half of the world's population, known for its versatility and ability to be grown under varied agricultural conditions.
- Familiarize yourself with the understanding of absolute advantage and its variance in comparison to comparative advantage.
Verified Answer
SS
Sukhkirat SinghJul 08, 2024
Final Answer :
Country A has an absolute advantage producing rice because it produces more in 40 hours than country B.
Learning Objectives
- Familiarize yourself with the understanding of absolute advantage and its variance in comparison to comparative advantage.