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Economics in a Global Environment
Instructor: Ramin Maysami
BUS305-0504B-24 Unit 1 IP - 1
Introduction to Economics
Nathaniel Davis
November 16, 2005
"A person has a comparative advantage at producing something if he can produce it at lower cost than anyone else.
Having a comparative advantage is not the same as being the best at something. In fact, someone can be completely unskilled at doing something, yet still have a comparative advantage at doing it!" (The Library of Economics and Liberty, 2004)
If you add the numbers for both Phil and Francis for a week, you can see that Francis has an absolute advantage over Phil when it comes to producing both products.
Phil Francis
Statement Phone Calls Statement Phone Calls
1=PH* 10=PH* 3=PH* 12=PH*
8=PD* 80=PD* 24=PD* 96=PD*
*Per Hour
*8 Hours Per Day
With the two financial planners, Phil and Francis, their out-put can be explained in conjunction with productivity and opportunity......
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Title: Strategic Management And Business Policy
Approximate Word Count: 281
Approximate Pages: 2 (250 words per double-spaced page)
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