Ep. 352 The Beauty and Importance of Comparative Advantage

Bob goes solo to explain Adam Smith's absolute advantage versus David Ricardo's comparative advantage. This important concept underpins civilization itself.

Mentioned in the Episode and Other Links of Interest:

• The infineo post on this numerical example.
• Bob’s book Lessons for the Young Economist has a discussion of comparative advantage (see chapters 8 and 19).
• Help support the Bob Murphy Show.