Answer:
Japan has an absolute advantage in car production.
Explanation:
The principle of absolute advantage refers to the ability of a country to produce a greater quantity of a good, product, or service than competitors, using the same amount of resources.
A country with an absolute advantage can sell the good for less than a country that does not have the absolute advantage.
From the above case Japan is said to have absolute advantage because it can produce car at a lower cost than United States.
