Rating: 5 out of 5 stars
5/5
The Theory of Comparative Advantage: Why specialisation is the key to success
By 50minutes
Rating: 0 out of 5 stars
()
About this ebook
Why specialisation is the key to success
This book is a practical and accessible guide to understanding and implementing the theory of comparative advantage, providing you with essential information and saving time.
In 50 minutes you will be able to:
• Master the notions of absolute and relative advantage rapidly
• Specialise in producing goods or services for which you have the strongest, or least weak productivity compared to others.
• Understand which are the strengths underlying the interactions of free trade at work within International trade.
ABOUT 50MINUTES.COM| Management & Marketing
50MINUTES.COM provides the tools to quickly understand the main theories and concepts that shape the economic world of today. Our publications are easy to use and they will save you time. They provide both elements of theory and case studies, making them excellent guides to understand key concepts in just a few minutes. In fact, they are the starting point to take action and push your business to the next level.
This book is a practical and accessible guide to understanding and implementing the theory of comparative advantage, providing you with essential information and saving time.
In 50 minutes you will be able to:
• Master the notions of absolute and relative advantage rapidly
• Specialise in producing goods or services for which you have the strongest, or least weak productivity compared to others.
• Understand which are the strengths underlying the interactions of free trade at work within International trade.
ABOUT 50MINUTES.COM| Management & Marketing
50MINUTES.COM provides the tools to quickly understand the main theories and concepts that shape the economic world of today. Our publications are easy to use and they will save you time. They provide both elements of theory and case studies, making them excellent guides to understand key concepts in just a few minutes. In fact, they are the starting point to take action and push your business to the next level.
LanguageEnglish
Publisher50Minutes.com
Release dateJun 4, 2015
ISBN9782806264084
Other titles in The Theory of Comparative Advantage Series (28)
Maslow's Hierarchy of Needs: Gain vital insights into how to motivate people Porter's Five Forces: Understand competitive forces and stay ahead of the competition Rating: 4 out of 5 stars4/5Ishikawa Diagram: Anticipate and solve problems within your business Rating: 5 out of 5 stars5/5The Theory of Comparative Advantage: Why specialisation is the key to success Rating: 0 out of 5 stars0 ratingsThe Competitive Power of the Product Lifecycle: Revolutionise the way you sell your products Rating: 0 out of 5 stars0 ratingsThe Greiner Growth Model: Anticipate crises and adapt to a changing business world Rating: 0 out of 5 stars0 ratingsGestalt Psychology for Marketing and Leadership: Influence customer perceptions and make your advertising more memorable Rating: 0 out of 5 stars0 ratingsThe Marketing Mix: Master the 4 Ps of marketing Rating: 5 out of 5 stars5/5Pareto's Principle: Expand your business with the 80/20 rule Rating: 5 out of 5 stars5/5Management by Objectives: Get the best out of your employees Rating: 0 out of 5 stars0 ratingsGame Theory: The art of thinking strategically Rating: 3 out of 5 stars3/5The Balanced Scorecard: Turn your data into a roadmap to success Rating: 4 out of 5 stars4/5The BCG Growth-Share Matrix: Theory and Applications: The key to portfolio management Rating: 2 out of 5 stars2/5The Law of Diminishing Returns: Theory and Applications: Understand the fundamentals of economic productivity Rating: 0 out of 5 stars0 ratingsThe Six Sigma Method: Boost quality and consistency in your business Rating: 3 out of 5 stars3/5Michael Porter's Value Chain: Unlock your company's competitive advantage Rating: 4 out of 5 stars4/5The Peter Principle: Say NO! to incompetence at work Rating: 4 out of 5 stars4/5Freemium: Attract more customers and boost your sales Rating: 0 out of 5 stars0 ratingsThe SWOT Analysis: A key tool for developing your business strategy Rating: 4 out of 5 stars4/5McKinsey 7S Framework: Boost business performance, prepare for change and implement effective strategies Rating: 4 out of 5 stars4/5SMART Criteria: Become more successful by setting better goals Rating: 5 out of 5 stars5/5Capital Asset Pricing Model: Make smart investment decisions to build a strong portfolio Rating: 4 out of 5 stars4/5Improve Your Business Through Kaizen: Boost your results with continuous improvement Rating: 4 out of 5 stars4/5Parkinson's Law: Master time management and increase productivity Rating: 0 out of 5 stars0 ratingsThe Long Tail Theory for Business: Find your niche and future-proof your business Rating: 0 out of 5 stars0 ratingsBusiness Plan Checklist: Plan your way to business success Rating: 5 out of 5 stars5/5PESTLE Analysis: Understand and plan for your business environment Rating: 4 out of 5 stars4/5
Read more from 50minutes
Magellan: The First Circumnavigation of the Globe Rating: 0 out of 5 stars0 ratingsAlbert Camus: Existentialism, the Absurd and rebellion Rating: 5 out of 5 stars5/5Opus Dei: The Secrets and Scandals of an Influential Organisation Rating: 0 out of 5 stars0 ratingsTito: The Marshal of Yugoslavia Rating: 4 out of 5 stars4/5Transactional Analysis: A valuable tool for understanding yourself and others Rating: 3 out of 5 stars3/5The Six-Day War: The Conflict that Re-Shaped the Middle East Rating: 0 out of 5 stars0 ratingsThe Battle of Verdun: The Horror of Trench Warfare Rating: 0 out of 5 stars0 ratingsThe United Nations: The Organisation at the Heart of International Diplomacy Rating: 5 out of 5 stars5/5The Battle of Tours: The Turning Point in the Struggle Against Islam Rating: 0 out of 5 stars0 ratingsMindfulness: The secrets to inner peace and harmony Rating: 0 out of 5 stars0 ratingsIsaac Newton: A Giant of Modern Science Rating: 0 out of 5 stars0 ratingsThe Attack on Pearl Harbor: The Attack that Shook America Rating: 0 out of 5 stars0 ratingsHenry Ford: Mass Production and the Model T Rating: 0 out of 5 stars0 ratingsGeorges Lemaître: The Big Bang Theory and the Origins of Our Universe Rating: 5 out of 5 stars5/5The Trojan War: A legendary conflict in Ancient Greece Rating: 0 out of 5 stars0 ratingsThe Eruption of Vesuvius: The Deadly Disaster of Pompeii Rating: 5 out of 5 stars5/5The Battle of Gettysburg: The Turning Point of the American Civil War Rating: 0 out of 5 stars0 ratingsThomas Jefferson: The Declaration of Independence and the Expansion of US Territory Rating: 0 out of 5 stars0 ratingsJames Monroe: The Era of Good Feelings Rating: 4 out of 5 stars4/5The Battle of Britain: Britain’s Strong Victory Against Nazi Germany Rating: 0 out of 5 stars0 ratingsWinston Churchill: Britain’s Legendary Wartime Leader Rating: 0 out of 5 stars0 ratingsAmerigo Vespucci: The Man Who Gave America Its Name Rating: 0 out of 5 stars0 ratings
Related to The Theory of Comparative Advantage
Titles in the series (28)
Maslow's Hierarchy of Needs: Gain vital insights into how to motivate people Rating: 5 out of 5 stars5/5Porter's Five Forces: Understand competitive forces and stay ahead of the competition Rating: 4 out of 5 stars4/5Ishikawa Diagram: Anticipate and solve problems within your business Rating: 5 out of 5 stars5/5The Theory of Comparative Advantage: Why specialisation is the key to success Rating: 0 out of 5 stars0 ratingsThe Competitive Power of the Product Lifecycle: Revolutionise the way you sell your products Rating: 0 out of 5 stars0 ratingsThe Greiner Growth Model: Anticipate crises and adapt to a changing business world Rating: 0 out of 5 stars0 ratingsGestalt Psychology for Marketing and Leadership: Influence customer perceptions and make your advertising more memorable Rating: 0 out of 5 stars0 ratingsThe Marketing Mix: Master the 4 Ps of marketing Rating: 5 out of 5 stars5/5Pareto's Principle: Expand your business with the 80/20 rule Rating: 5 out of 5 stars5/5Management by Objectives: Get the best out of your employees Rating: 0 out of 5 stars0 ratingsGame Theory: The art of thinking strategically Rating: 3 out of 5 stars3/5The Balanced Scorecard: Turn your data into a roadmap to success Rating: 4 out of 5 stars4/5The BCG Growth-Share Matrix: Theory and Applications: The key to portfolio management Rating: 2 out of 5 stars2/5The Law of Diminishing Returns: Theory and Applications: Understand the fundamentals of economic productivity Rating: 0 out of 5 stars0 ratingsThe Six Sigma Method: Boost quality and consistency in your business Rating: 3 out of 5 stars3/5Michael Porter's Value Chain: Unlock your company's competitive advantage Rating: 4 out of 5 stars4/5The Peter Principle: Say NO! to incompetence at work Rating: 4 out of 5 stars4/5Freemium: Attract more customers and boost your sales Rating: 0 out of 5 stars0 ratingsThe SWOT Analysis: A key tool for developing your business strategy Rating: 4 out of 5 stars4/5McKinsey 7S Framework: Boost business performance, prepare for change and implement effective strategies Rating: 4 out of 5 stars4/5SMART Criteria: Become more successful by setting better goals Rating: 5 out of 5 stars5/5Capital Asset Pricing Model: Make smart investment decisions to build a strong portfolio Rating: 4 out of 5 stars4/5Improve Your Business Through Kaizen: Boost your results with continuous improvement Rating: 4 out of 5 stars4/5Parkinson's Law: Master time management and increase productivity Rating: 0 out of 5 stars0 ratingsThe Long Tail Theory for Business: Find your niche and future-proof your business Rating: 0 out of 5 stars0 ratingsBusiness Plan Checklist: Plan your way to business success Rating: 5 out of 5 stars5/5PESTLE Analysis: Understand and plan for your business environment Rating: 4 out of 5 stars4/5
Related ebooks
Competitive Advantage of Nations: Creating and Sustaining Superior Performance Rating: 4 out of 5 stars4/5Management by Objectives: Get the best out of your employees Rating: 0 out of 5 stars0 ratingsThe Law of Diminishing Returns: Theory and Applications: Understand the fundamentals of economic productivity Rating: 0 out of 5 stars0 ratingsThe BCG Growth-Share Matrix: Theory and Applications: The key to portfolio management Rating: 2 out of 5 stars2/5The Competitive Power of the Product Lifecycle: Revolutionise the way you sell your products Rating: 0 out of 5 stars0 ratingsFreemium: Attract more customers and boost your sales Rating: 0 out of 5 stars0 ratingsThe Greiner Growth Model: Anticipate crises and adapt to a changing business world Rating: 0 out of 5 stars0 ratingsPorter's Five Forces: Understand competitive forces and stay ahead of the competition Rating: 4 out of 5 stars4/5Michael Porter's Value Chain: Unlock your company's competitive advantage Rating: 4 out of 5 stars4/5The Six Sigma Method: Boost quality and consistency in your business Rating: 3 out of 5 stars3/5Gestalt Psychology for Marketing and Leadership: Influence customer perceptions and make your advertising more memorable Rating: 0 out of 5 stars0 ratingsIshikawa Diagram: Anticipate and solve problems within your business Rating: 5 out of 5 stars5/5The Long Tail Theory for Business: Find your niche and future-proof your business Rating: 0 out of 5 stars0 ratingsPESTLE Analysis: Understand and plan for your business environment Rating: 4 out of 5 stars4/5McKinsey 7S Framework: Boost business performance, prepare for change and implement effective strategies Rating: 4 out of 5 stars4/5Game Theory: The art of thinking strategically Rating: 3 out of 5 stars3/5The SWOT Analysis: A key tool for developing your business strategy Rating: 4 out of 5 stars4/5Capital Asset Pricing Model: Make smart investment decisions to build a strong portfolio Rating: 4 out of 5 stars4/5Parkinson's Law: Master time management and increase productivity Rating: 0 out of 5 stars0 ratingsSMART Criteria: Become more successful by setting better goals Rating: 5 out of 5 stars5/5Improve Your Business Through Kaizen: Boost your results with continuous improvement Rating: 4 out of 5 stars4/5The Balanced Scorecard: Turn your data into a roadmap to success Rating: 4 out of 5 stars4/5The Peter Principle: Say NO! to incompetence at work Rating: 4 out of 5 stars4/5Pareto's Principle: Expand your business with the 80/20 rule Rating: 5 out of 5 stars5/5Maslow's Hierarchy of Needs: Gain vital insights into how to motivate people Rating: 5 out of 5 stars5/5Customer Relationship Management: A powerful tool for attracting and retaining customers Rating: 4 out of 5 stars4/5The Marketing Mix: Master the 4 Ps of marketing Rating: 5 out of 5 stars5/5Value Stream Mapping: Reduce waste and maximise efficiency Rating: 4 out of 5 stars4/5
Study Aids & Test Prep For You
Dare to Lead: Brave Work. Tough Conversations. Whole Hearts.by Brené Brown | Conversation Starters Rating: 5 out of 5 stars5/5Finish What You Start: The Art of Following Through, Taking Action, Executing, & Self-Discipline Rating: 4 out of 5 stars4/512 Rules For Life: by Jordan Peterson | Conversation Starters Rating: 4 out of 5 stars4/5The 48 Laws of Power: by Robert Greene | Conversation Starters Rating: 4 out of 5 stars4/5How to Take Smart Notes. One Simple Technique to Boost Writing, Learning and Thinking Rating: 4 out of 5 stars4/5Summary of Good Energy by Casey Means:The Surprising Connection Between Metabolism and Limitless Health Rating: 0 out of 5 stars0 ratingsGRE Prep 2024 For Dummies with Online Practice Rating: 5 out of 5 stars5/5Barron's American Sign Language: A Comprehensive Guide to ASL 1 and 2 with Online Video Practice Rating: 3 out of 5 stars3/5Fluent in 3 Months: How Anyone at Any Age Can Learn to Speak Any Language from Anywhere in the World Rating: 3 out of 5 stars3/5Medical Terminology Rating: 5 out of 5 stars5/5Behold a Pale Horse: by William Cooper | Conversation Starters Rating: 4 out of 5 stars4/5The Art of Seduction: by Robert Greene | Conversation Starters Rating: 3 out of 5 stars3/5Master the GED Test, 28th Edition Rating: 5 out of 5 stars5/5Man's Search for Meaning: by Viktor E. Frankl | Conversation Starters Rating: 3 out of 5 stars3/5One Hundred Years of Solitude: A Novel by Gabriel Garcia Márquez | Conversation Starters Rating: 4 out of 5 stars4/5The 4-Hour Workweek (Review and Analysis of Ferriss' Book) Rating: 4 out of 5 stars4/5Verity: by Colleen Hoover | Conversation Starters Rating: 4 out of 5 stars4/5A Degree in a Book: Philosophy: Everything You Need to Know to Master the Subject - in One Book! Rating: 0 out of 5 stars0 ratingsThe Untethered Soul: The Journey Beyond Yourself by Michael A. Singer | Conversation Starters Rating: 3 out of 5 stars3/5The Naked Roommate: And 107 Other Issues You Might Run Into in College Rating: 4 out of 5 stars4/5Digital SAT Prep 2024 For Dummies: Book + 4 Practice Tests Online, Updated for the NEW Digital Format Rating: 0 out of 5 stars0 ratingsGED® Math Test Tutor, For the New 2014 GED® Test Rating: 0 out of 5 stars0 ratingsGED Test Prep 2023/2024 For Dummies with Online Practice Rating: 0 out of 5 stars0 ratings
Reviews for The Theory of Comparative Advantage
Rating: 0 out of 5 stars
0 ratings
0 ratings0 reviews
Book preview
The Theory of Comparative Advantage - 50minutes
The theory of comparative advantage
Key information
Names: The law of comparative advantage or the law of relative advantage.
Uses: Justification of international trade, the outsourcing of tasks in companies, the division of labour, specialisation and trade.
Why is it successful? The theory offers answers to the questions raised by the principle of absolute advantage put forward by Adam Smith (Scottish economist, 1723-1790), and provides proof that specialisation and trade are mutually beneficial and sources of wealth. It also provides advice to increase efficiency, and consequently productivity.
Key words:
Absolute advantage: The advantage held by a person who is able to produce the same product as someone else, but with a greater output for the same amount of resources.
Factor endowment: The resources that a country possesses, including land, labour, capital and entrepreneurship.
Markets: Efficient organisational structures for economic activity, in which households and companies freely choose to allocate their resources.
Opportunity cost: What is given up produce a unit of a good, measured in units of another good.
Relative advantage: The advantage held by a person who has a lower cost
Enjoying the preview?
Page 1 of 1