Assignment:
1. What is the difference between absolute advantage and comparative advantage? What products/services does you workplace specialize in? What comparative advantages does your workplace have?
2. www.eia.doe.gov/emeu/international/gas1.xls
That web page lists historical prices, in US$, of gasoline and other sources of energy in the U.S. and in six European countries including: (1) Belgium, (2) France, (3) Germany, (4) Italy, (5) Netherlands, and (6) UK.
Given the data listed on the above web site, which countries would you expect to use renewable sources of energy most intensely and gasoline least intensely? What evidence do you have to support your contentions? How would this information help a business manager involved in international trade make decisions related to the demand for products and services in those seven countries?