It is not the countries that have the power, it's the corporations that rule this planet. The people with money have all te advantage they could ever want and yet these greedy humans only seek more and more. They are higher than the government, they control Obama, the queen, every major in politics have a subtle knife urging their lies upon the world and will silently take them down if even a negative word about the puppeteers work this blind, deaf and mute planet.
what are the assumptions of the absolute advantage cost?
true,if only one has comparative advantages.
There are many similarities and differences between Comparative Advantage and Absolute Advantage. Some simple differences between the two would be, comparative advantage uses the driving force of specialization. Another thing of comparative are, if one country has an absolute advantage or disadvantage in any kind of output, any of the other countries will maybe profit from majoring in and distributing those products. Absolute advantage has a country that economically has a benefit over another, in a precise moral, when it produces that moral at a lower cost. Also a country using the same contribution of properties a country with an absolute advantage will have superior productivity. A few modest similarities between comparative and absolute advantage are, both of these terms are two basic concepts to international trade. Additional details would be the two terms both produce a product more efficiently which gives them an absolute advantage.
In the time of global market, the country with absolute advantage has more priority to open wider the global market by having a monopoly on producing a specific product that other countries cannot produce. For the country with comparative advantage, it seems that it cannot stand steadily in the global market, because the quality of their products and what they can produce, the other countries can also produce, so they are facing the risk.
An example that illustrates the difference between comparative advantage and absolute advantage in international trade is the scenario where Country A can produce both cars and computers more efficiently than Country B. However, Country A has a comparative advantage in producing cars, while Country B has a comparative advantage in producing computers. This means that even though Country A has an absolute advantage in both products, it is more beneficial for both countries to specialize in the product they can produce most efficiently and trade with each other.
what is absolute advantage of country's product vs other countries
what are the assumptions of the absolute advantage cost?
Those theories both refer to international trade, however absolute advantage was mentioned earlier. According to it, a trade between 2 countries is possible only if one has absolute advantage (produces a good with less costs or with less time) and other has absolute disadvantage in producing that good but at the same time it must have an absolute advantage in producing the secong good. If a country produces a good better (cheaper/faster), it would specialize on it and export. Theory assumes that only 2 counties and 2 goods exist, no other costs except for labour are taken into account.
Absolute advantage occurs when a country or entity can produce a good or service more efficiently than another. For instance, Saudi Arabia has an absolute advantage in oil production due to its vast reserves and lower extraction costs compared to many other countries. Similarly, China has an absolute advantage in manufacturing electronics, as it can produce them at a lower cost due to economies of scale and a large labor force. These examples illustrate how certain regions or countries can specialize in specific industries where they hold a distinct efficiency.
true,if only one has comparative advantages.
Absolute advantage is found by comparing the productivity of different individuals, companies, or countries in producing a specific good or service. If one entity can produce more of that good or service with the same resources than another entity, it has an absolute advantage. This concept highlights efficiency in production and helps identify where trade can be beneficial, as entities can specialize in what they produce best.
There are many similarities and differences between Comparative Advantage and Absolute Advantage. Some simple differences between the two would be, comparative advantage uses the driving force of specialization. Another thing of comparative are, if one country has an absolute advantage or disadvantage in any kind of output, any of the other countries will maybe profit from majoring in and distributing those products. Absolute advantage has a country that economically has a benefit over another, in a precise moral, when it produces that moral at a lower cost. Also a country using the same contribution of properties a country with an absolute advantage will have superior productivity. A few modest similarities between comparative and absolute advantage are, both of these terms are two basic concepts to international trade. Additional details would be the two terms both produce a product more efficiently which gives them an absolute advantage.
In the time of global market, the country with absolute advantage has more priority to open wider the global market by having a monopoly on producing a specific product that other countries cannot produce. For the country with comparative advantage, it seems that it cannot stand steadily in the global market, because the quality of their products and what they can produce, the other countries can also produce, so they are facing the risk.
An example that illustrates the difference between comparative advantage and absolute advantage in international trade is the scenario where Country A can produce both cars and computers more efficiently than Country B. However, Country A has a comparative advantage in producing cars, while Country B has a comparative advantage in producing computers. This means that even though Country A has an absolute advantage in both products, it is more beneficial for both countries to specialize in the product they can produce most efficiently and trade with each other.
absolute advantage is when a country,company, indivdual or region can produce a good better and at a cheaper cost than any other competitor.
Type your answer here... 不知道哦
Yes, and not only that, but such trade can be profitable for both countries due to comparative advantage.