What is the difference between absolute and comparative advantage?
a. An absolute advantage exists when individual A can produce .
b. A comparative advantage exists when individual A can produce .
c. If Stephen Curry is better than you at both basketball and mowing grass, why would he still hire you to mow his lawn?
Because Stephen Curry hasa comparative advantage in mowing lawns, and you have a comparative advantage in absolute advantage in both activities.a comparative advantage in basketball, and you have a comparative advantage in lawn mowing. .
b. A comparative advantage exists when individual A can produce .
c. If Stephen Curry is better than you at both basketball and mowing grass, why would he still hire you to mow his lawn?
Because Stephen Curry hasa comparative advantage in mowing lawns, and you have a comparative advantage in absolute advantage in both activities.a comparative advantage in basketball, and you have a comparative advantage in lawn mowing.