Barriers to entry are one way that existing firms can have the "incumbent" form of this, as compared to new firms in a market.
Barriers to entry are one way that existing firms can have the "incumbent" form of this, as compared to new firms in a market. The ability to produce a good more efficiently in a national economy is its "absolute" form. Two countries which produce more of two goods by respectively specializing in one and the other are benefiting from another form of this, which was originally explained in terms of British cloth and Portuguese wine by David Ricardo. For 10 points, give this economic term that appears in justifications of international trade in its "comparative" form.
Barriers to entry are one way that existing firms can have the "incumbent" form of this, as compared to new firms in a market.
advantage