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Which is an example of comparative advantage

Aa country decides to export goods when another country does not.
Ba country decides to create goods at half the cost of another country.
Ca country decides to grow wheat and when another country raises cattle.
Da country decides to invest in technology and another country does not.

Verified Answer :

B is an example of comparative advantage

MrDonovan

The correct answer is B) A country decides to create goods at half the cost of another country.

A comparative advantage refers to when a country can produce a good or service more efficiently than another country. In this case, one country can produce a good at a much lower price than another country. This type of comparison allows countries/individuals to better understand what the best use of their time is in comparison to other countries/individuals.

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