Absolute Advantage

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Dictionary Says

Definition of 'Absolute Advantage'

The ability of a country, individual, company or region to produce a good or service at a lower cost per unit than the cost at which any other entity produces that good or service.
Investopedia Says

Investopedia explains 'Absolute Advantage'

Entities with absolute advantages can produce something using a smaller number of inputs than another party producing the same product. As such, absolute advantage can reduce costs and boost profits.

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