How do countries develop a comparative advantage over their trading
partners?
A. By producing more essential goods than other countries
B. By reducing their reliance on foreign trade for essential goods
C. By lowering the trade deficits they have with their neighbors
D. By having lower opportunity costs for producing certain goods

Respuesta :

Answer:

D

Explanation:

Comparative advantage is the capacity to deliver goods at a lower opportunity cost than its competitor.

What are comparative advantages?

It is an economy's capacity to deliver specific goods or services at a lower opportunity cost than its competitor.

To develop comparative advantages it should manufacture/produce goods at lower opportunity costs.

Therefore, option D explains the comparative advantages.

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