Final answer:
A country has a comparative advantage in the production of goods or services when it can produce them at a lower opportunity cost than other countries.
Step-by-step explanation:
A country has a comparative advantage in the production of goods or services when it can produce them at a lower opportunity cost than other countries. This means that it can produce those goods or services more efficiently or using fewer resources. When one nation is better able to produce goods or services better than another nation, it has a comparative advantage in those areas.
For example, let's say that Country A can produce 10 cars or 20 computers with the same amount of resources, while Country B can produce 5 cars or 30 computers with the same amount of resources. Country A has a comparative advantage in car production, while Country B has a comparative advantage in computer production.
This concept of comparative advantage allows countries to specialize in the production of goods or services in which they have a comparative advantage and then trade those goods or services with other countries. This can lead to increased overall production and higher levels of consumption for all countries.