If a country has a higher opportunity cost to produce a good, that means that this country can never possess a comparative advantage in the production of any good.

Question

​If a country has a higher opportunity cost to produce a good, that means that this country can never possess a comparative advantage in the production of any good.

lehak sethii · Accepted Answer

Final Answer : False, Explanation :  A country with a higher opportunity cost in producing a particular good can still possess a comparative advantage in producing another good if it has a lower opportunity cost in producing that other good compared to other countries. Comparative advantage is relative and depends on the opportunity costs of producing goods across different countries.

If a country has a higher opportunity cost to produce a good, that means that this country can never possess a comparative advantage in the production of any good.

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Related questions

​If a country has a higher opportunity cost to produce a good, that means that this country can never possess a comparative advantage in the production of any good.

Definitions

Learning Objectives

Learning Objectives

Related questions

If a country has a higher opportunity cost to produce a good, that means that this country can never possess a comparative advantage in the production of any good.