A Comparative Advantage Of Green Technology Essay

1358 Words May 16th, 2016 null Page
“Real change is never easy, but it is always possible and it usually starts from the bottom up. If we each do our part we can accomplish anything. Nowhere is that reminder more relevant- or urgent- than with energy” – Barack Obama. (Seattle Times, Van Jones). A new market is beginning to emerge from a strong drive for cleaner and greener technology, especially in dealing with energy production. Green technology is currently in the infant stages with several countries competing to create new technology in a more cost effective way. Currently, the United States trails far behind other industrialized countries in the production and implementation of more environmentally friendly technology. If this continues to be a trend, the U.S can lose their comparative advantage in technology to countries who would have access to more advanced and innovative technology to produce at a much cheaper cost.
A comparative advantage in this case, is when one country is able to be more efficient in producing one good or service compared to a different country. This is especially true when a country is able to focus and specialize on a product or service so they will become even better at what they do. The United States have exceeded in creativity and innovation, which accounts for the advantage in technology (Macroeconomics, 22-38). This advantage in technology exists because the U.S. has a comparative advantage in “high skill, high wage” businesses. “Because the United States has a relatively…

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