The United States is more productive in most activities than are most of other countries because it has an absolute advantage in the production of most goods and services. Therefore we should restrict international trade as it only benefits other countries at the expense of the United States
Comment on the following statement:
"The United States is more productive in most activities than are most of other countries because it has an
Absolute advantage refers to a situation where one country or individual can produce a particular good or service more efficiently than another country or individual, using fewer resources or in less time. On the other hand, comparative advantage refers to a situation where a country or individual can produce a particular good or service at a lower opportunity cost than another country or individual. Opportunity cost refers to the cost of producing one unit of a good or service in terms of the other goods or services that could have been produced instead.
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