Question

The law of comparative advantage applies to exchange between

Answer 1

Answer: INDIVIDUALS,REGIONS,NATIONS

Explanation:

The law of comparative advantage tries to describe the effects of changes made to an Economy, individuals,nations,regions when compared to others.

A Nation with a good comparative advantage will produce more goods and services with a reduced cost.

It helps to know how well a country,an individual,a region is good at effectively managing its resources to produce efficiently.

Answer 2

Answer:

The Law of Comparative Advantage states that an entity maximises its resources by producing that which gives the best return, while delegating production of all other products and services to other entities more cost-effective in their production. The law of comparative advantage describes how, under free trade, an agent will produce more of and consume less of a good for which they have a comparative advantage. Instead, one must compare the opportunity costs of producing goods across countries.

Explanation: