Hi, need to submit a 500 words essay on the topic Reading Report.
Donovan was not expected to be omitted due to his being a three- time veteran of world cup and the best known American player. Dempsey was however picked due to his absolute advantage over his other fellow players including Donovan. In economics, absolute advantage therefore occurs when an individual, a group or company or a country is more efficient and effective in producing the same good or service than any other individual, company or country.
In this case therefore, Clint Dempsey has an absolute advantage over his other players. For instance, he has managed to score eight goals in nine games meaning he scored almost in every game. This is a trait that only a few would achieve. He also has that innate ability of finding a goal in every game he is involved in. The coach of Los Angeles Galaxy Bruce Arena says that he has that driving force with which he does things for himself you can’t keep on telling him during the entire game. He is also very well motivated and uses that as his secret to play well.
Another concept in economics is the opportunity cost. This refers to the value of the best forgone alternative. In this case both Dempsey and Donovan are alternatives but the coach has decided to prefer Donovan to Dempsey, thus risking a certain value. The coach has given up the chance to use Donovan and sacrificed the wins they would have had. It meant that Donovan and the value of Donovan was forgone, therefore being the opportunity cost. Opportunity cost is therefore a scenario experienced by most of us in our daily lives (online.wsj.com).
Comparative advantage is the ability of an individual or country to produce services or goods at a lower opportunity cost than any other individual or country. Dempsey and Donovan can both play well though Dempsey seems to have an absolute advantage over Donovan. In this case, we don’t look at the absolute advantages but the opportunity costs. The Dempsey can play a