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Which situation is an example of a comparative advantage in an international market?

A. Country A decides to grow extra potatoes so they have more to export, while Country B does not.
B. Factories in Country A can produce the same number of tablets as factories in Country B, or the factories in Country A could be used to build more laptops than the factories in Country B.
C. Country A invests in a new technology while Country B chooses to invest in education.
D. Farmland in Country A can produce 100 units of rice per acre, while Country B can only produce 70 units of rice using the same amount of workers and farmland.

To compare or contrast ideas, they need restraint. In this case, you're comparing the production for the same amount of land and workers, in which Country A is the one with the advantage, as comparative advantage has to do with who has the lowest opportunity cost to produce something. Those are the restraints, so the answer should be D.

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gauravsingh23VT gauravsingh23VT · Answer 2 · 2022-07-20T13:37:21+02:00

Farmland in Country A can produce 100 units of rice per acre, while Country B can only produce 70 units of rice using the same amount of workers and farmland is the situation is an example of a comparative advantage in an international market. Hence, option D is correct.

What is farmland?

Agricultural land as an example. Use the meadow for feeding as you have access to the nearby farmland. 800 people now have irrigated fields to produce their crops on. The location is a rocky outcrop-dotted shallow basin in an area of intensive farming.

Thus, option D is correct.

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