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    #1

    comparative advantage and specilization

    Does the below sentence mean, aid benefit from "comparative advantage and specilization", or "comparative advantage and specilization advantage"?

    "like trade, aid benefits from specialisation and comparative advantage."

    Thank you

  1. BobK's Avatar
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    #2

    Re: comparative advantage and specilization

    Grammatically it seems to mean the first of your options, but I have no idea what 'comparative advantage' is supposed to mean in this contest.

    b

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    #3

    Re: comparative advantage and specilization

    It means that Italy will be better at making, say, olive oil, than Britain. When you compare the two nations, one has an advantage. (Due to climate, in this case.)

    I'm not sure how that relates to "aid" either.

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