Question

Assume that China has a comparative advantage in producing corn and exports corn to Japan. We can conclude that ________.

Answer 1

Lower opportunity cost in the production of corn.

Step-by-step explanation:

We can conclude that China has a lower opportunity cost for the production of corn and Japan has a high opportunity cost of producing the cost because comparative advantage can be seen when a country produces a commodity that has lower opportunity cost or less than the opportunity cost of other countries. So China has a comparative advantage means it has a lower opportunity cost of corn production.