When one country can produce a product at a ________ cost in terms of other goods, that country is said to have a(n) ________ advantage.

A) higher; comparative
B) lower; comparative
C) lower; absolute
D) higher; absolute

Comparative Advantage

The ability of a party to produce a particular good or service at a lower opportunity cost than others, enabling trade benefits.

Absolute Advantage

The ability of an entity to produce a good or service more efficiently than its competitors with the same resources.