PPT-Absolute and Comparative Advantage

Absolute Advantage Absolute advantage is when someone is the best at doing something America is the best at producing entertainment Colt Brennann Hawaii is the best at throwing touchdown passes. International Trade:. Comparative Advantage and Trade Barriers. Disclaimer: The views expressed are those of the presenters and do not necessarily reflect those of the Federal Reserve Bank of Dallas or the Federal Reserve System.. Introduction. Introduction. International Trade Growth. International Trade Milestones. Largest Exporting & Importing Countries. International Trade Drivers. International Trade Theories. The International Business Environment. EQ: How do we gain from trade?. What was the most important. document written in 1776?. written by. Adam Smith. The Father of Economics. The Wealth of Nations. He is my great, great, great, great, . Terms of Trade. Graph the Following PPCs. Shirts. (millions). Wheat. (millions. of bushels). China. 25. 50. USA. 50. 200. Values represent all resources spent on one good. (the other value is 0). Which country has an absolute advantage in shirts?. OBJECTIVE: SWBAT analyze the benefits of trade.. DO NOW: Why do you think it is important for industrialized countries like the United States of America to trade?. Consider your typical day:. You wake up to an alarm clock made in Korea.. Everyone does best when each person (or each country) concentrates on the activities for which his or her . opportunity cost . is lowest.. Principle of Comparative . Advantage. 117$. 140$. Absolute . Lecture 17. Chapter 2, 7. Trade, and Comparative Advantage. 2017 Economics 101 CCC. content. Trade Terminology. Canada and Trade . Production Possibilities Frontier. Comparative & Absolute Advantage. Solving Absolute Value . Inequalities. Situation. The Frito-Lay plant has strict standards when it comes to bagging their products. The weight of the chips in a snack-size bag must be within 0.15 ounces of the advertised size of 1.75 ounces in order to be sent to the store shelf. . Absolute and Comparative Advantage AP Macroeconomics Coach Saucedo Manvel High School They want goods Think of what we would do without if we didn’t trade. To make money. Nations trade for several reasons Absolute Advantage. given . the exact same resources, country A can produce more of a good than country . B. Comparative Advantage. given the same resources, country B produces good X at a lower opportunity cost.   . . Lecture 3: Comparative Advantage Benjamin Graham. Today’s Plan. Housekeeping. Reading Quiz. How trade creates wealth. Arthur has no comparative advantage.. Ben should do both tasks because he has an absolute advantage in both.. Arthur has a comparative advantage in shearing sheep and Ben has a comparative advantage in milking goats.. An Inquiry in the Nature and Causes of the Wealth of Nations (. 1776). “It is a maxim of every prudent mast of a family, never to attempt to make at home what will cost him more to make than to buy. The tailor does not attempt to make his own shoes, but buys them of the shoemaker. The shoemaker does not attempt to make his own clothes but employs a tailor.”. Prepare thoroughly for the AP Comparative Government and Politics exam with this comprehensive guide featuring exam questions, answers, and effective strategies.