comparative advantage

noun

Definition of comparative advantage

: the advantage enjoyed by a person or country in the cost ratio of one commodity to another in comparison with the ratio of costs of these same commodities elsewhere

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Cite this Entry

“Comparative advantage.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/comparative%20advantage. Accessed 26 Oct. 2021.

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