A person who has an absolute advantage will
A) not have a comparative advantage in everything.
B) not specialize.
C) have a comparative advantage in everything.
D) not trade.

Question

Quizplus · Accepted Answer

Having an absolute advantage means being able to produce more of a good or service with the same amount of resources. This does not necessarily mean that a person has a comparative advantage in everything, as it is possible for another person to have a lower opportunity cost in producing a different good or service. Therefore, the best choice is A.

A Person Who Has an Absolute Advantage Will