Absolute Advantage

1. A ____ is a company that assigns credit ratings for issuers of certain types of debt obligations as well as the debt instruments themselves. In some cases, the servicers of the underlying debt are also given ratings.

  Tariff agency

  Card agency

  Loan agency

  Credit agency

Question 2

• ____ is defined as the strategic advantage one business entity has over its rival entities within its competitive industry.

  Export advantage

  Opportunity cost

  Comparative advantage

  Competitive advantage

Question 3

• ____ is the cost of an opportunity forgone (and the loss of the benefits that could be received from that opportunity); the most valuable forgone alternative.

  Comparative cost

  Opportunity cost

  Minimum cost

  Competitive cost

Question 4

• The principle of ____ refers to the ability of a party (an individual, or firm, or country) to produce more of a good or service than competitors, using the same amount of resources.

  Super advantage

  Unique advantage

  Minimum advantage

  Absolute advantage