6
lesson pretestMultiple Choice

Pretest

Question 6 • CMS 2026-2027 Economics and Personal Finance CREDIT RECOVERY

A producer with a comparative advantage has the ability to produce a good or service at

Answer
A
a lower opportunity cost than any competitor can.
B
a greater volume than any competitor can.
C
a faster rate than any competitor can.
D
a lower cost than any competitor can.

Explanation

Comparative advantage means being able to produce a good or service at a lower opportunity cost than another producer. Opportunity cost is the value of what must be given up to make it. Producing at a lower money cost or faster rate instead describes other kinds of advantage, not necessarily comparative advantage.

AI-written and checked against the verified answer.

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