ECON 1 Chapter 295-310: Reading Notes: Comparative Advantage
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ECON 1 Full Course Notes
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Trade off producing more of one good or service means producing less of another good or service. Advantage the ability to produce a good using fewer inputs than another producer. Ie g time taken comparative advantage the ability to produce a good at a lower opportunity than another producer if a has to produce good x advantage in producing good x smaller oppuvtunity cost. For both parties to gain from trade at which they opportunity costs t in this must trade lie. I his lower can specialize on what advantage for her opportunity cost has he she better off range than each party can buy a good at a price them i both of comparative. Exports goods produced domestically and and sold domestically sold abroad through international. However trade all countries achieve on trade can make international le g us increase export on cars worse oh import but.
