Producer A has a comparative advantage over Producer B if, in producing a good:
A. A can produce more of the good than B can in a given time period.
B. A has a lower opportunity cost of producing the good than does B.
C. A has to trade off more than B does to produce the good.
D. A has a higher opportunity cost of producing the good than does B.
Answer:B
Producer A has a comparative advantage over Producer B if, in producing a good:
A. A can produce more of the good than B can in a given time period. B. A has a lower opportunity cost of producing the good than does B. C. A has to trade off more than B does to produce the good. D. A has a higher opportunity cost of producing the good than does B.