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Consider the following Table 1 which represents unit labour requirements for the production of commodity X and Y by country A and B, and answer the questions that follow: 10 Table 1: Unit labour requirement for production of Good X and Y by Country A and B Commodity X Commodity Y Country A 9 40


sharath sathyan 10th Jun, 2021
Answer (1)
Uttara 1st Jul, 2021

The question is a bit incomplete but to give you a general idea of the topic usually a country has absolute advantage in producing commodity x and y when-

1)produces greater quantity for the same cost or,

2) same quantity at lower cost than the other country.

In comparative advantage the country whose  production is based on lower opportunity cost is more better.

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