The following graph shows the same PPF for Congaree as before, as well as its initial consumption at point A. As you did for Glacier, place a black point (plus symbol) on the following graph to indicate Congaree's consumption after trade. BASIL (Millions of pounds) 48 42 3 36 30 24 18 PPF 12 6 0 0 OO O True 6 O False Congaree 12 18 24 30 36 ALMONDS (Millions of pounds) 42 48 True or False: Without engaging in international trade, Glacier and Congaree would have been able to consume at the after-trade consumption bundles. (Hint: Base this question on the answers you previously entered on this page.) Consumption After Trade (?)

The following graph shows the same PPF for Congaree as before, as well as its initial consumption at point A. As you did for Glacier, place a black point (plus symbol) on the following graph to indicate Congaree's consumption after trade. BASIL (Millions of pounds) 48 42 3 36 30 24 18 PPF 12 6 0 0 OO O True 6 O False Congaree 12 18 24 30 36 ALMONDS (Millions of pounds) 42 48 True or False: Without engaging in international trade, Glacier and Congaree would have been able to consume at the after-trade consumption bundles. (Hint: Base this question on the answers you previously entered on this page.) Consumption After Trade (?)

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter33: International Trade

Section: Chapter Questions

Problem 30P: In Japan, one worker can make 5 tons of rubber or 80 radios. In Malaysia, one worker can make 10...

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Chapter 03 Homework BASIL (Millions of pounds) 48 42 BASIL (Millions of pounds) 36 30 24 18 12 6 0 48 42 36 30 24 The following graph shows the same PPF for Congaree as before, as well as its initial consumption at point A. 12 PPF 06 As you did for Glacier, place a black point (plus symbol) on the following graph to indicate Congaree's consumption after trade. (?) 18 PPF 6 0 0 12 6 O True O False 11 18 24 30 CORN (Millions of pounds) 12 Congaree A ☆ + 36 I I 18 30 CORN (Millions of pounds) 24 42 36 48 42 Consumption After Trade 48 Consumption After Trade True or False: Without engaging in International trade, Glacier and Congaree would not have been able to consume at the after-trade consumption bundles. (Hint: Base this question on the answers you previously entered on this page.)
Consider two neighboring island countries called Contente and Euphoria. They each have 4 million labor hours available per month that they can use to produce corn, jeans, or a combination of both. The following table shows the amount of corn or jeans that can be produced using 1 hour of labor. ols Corn Jeans Country (Bushels per hour of labor) (Pairs per hour of labor) Contente 16 A-Z Euphoria 20 Initially, suppose Contente uses 1 million hours of labor per month to produce corn and 3 million hours per month to produce jeans, while Euphoria uses 3 million hours of labor per month to produce corn and 1 million hours per month to produce jeans. Consequently, Contente produces million bushels of corn and 48 million pairs of jeans, and Euphoria produces 15 million bushels of corn and 20 million pairs of jeans. Assume there are no other countries willing to trade goods, so, in the absence of trade between these two countries, each country consumes the amount of corn and jeans it produces. ▼…
Production Advantage and Opportunity CostsAssume there are two countries, the United States and France, and two goods, automobiles andcomputers.The table presented below shows the number of automobiles and computers that the United States andFrance can produce with the same amount of resources.United States FranceAutomobiles 120 100Computers 60 55Source: Pearson Education Inc. 1.1 Which country has an absolute advantage in computer production? Motivate your answer.1.2 Which country has a comparative advantage in the production of automobiles? Motivateyour answer. 1.3 Assume these countries trade with one another under the conditions of free trade. Whichcountry will specialise in the production of automobiles? Motivate your answer. 1.4 If free trade exists between the United States and France, what are the highest and lowestlevels for the price of an automobile (expressed in terms of computers)? Motivate youranswer by stating which level favours the United States and France.
The following graph is the respective production possibility curves for the USA and South Korea. It shows there total output of medical devices and cars in a state of autarky (no trade), and it illustrates the gains that both countries can benefit from when they engage in trade. 10,000 10,000 8,000 tc 8,000 6,000 6,000 Consumpfion wth trode Consumplion wih trode 4,000 4,000 2,000 2,000 D. 1,000 0.5 1 3 2. 3 Automobiles (millions) Automobiles (millions) (a) USA (b) South Korea Medical Devices Automobiles (millions) USA 4,000 0.5 million South Korea 1,000 2 million Answer the following questions utilizing the textbook and your lecture videos: 1) What assumption in the production possibilities model may lead the model to overstate the gains from trade and cause the actual gains to be less than predicted by the model? 2) Who gains from trade in this scenario? Who may be hurt by trade in this scenario? 3) Do you think there is a role for the government to help those who are hurt by trade in…
4. Specialization and trade When a country has a comparative advantage in the production of a good, it means that it can produce this good at a lower opportunity cost than its trading partner. Then the country will specialize in the production of this good and trade it for other goods. The following graphs show the production possibilities frontiers (PPFS) for Shenandoah and Rainier. Both countries produce almonds and pistachios, each initially (l.e., before specialization and trade) producing 18 million pounds of almonds and 9 million pounds of pistachios, as indicated by the grey stars marked with the letter A. PISTACHIOS (Millions of pounds) 48 42 36 30 24 18 12 6 0 PPF Shenandoah A 0 6 12 18 24 30 36 ALMONDS (Millions of pounds) 42 48 ? PISTACHIOS (Millions of pounds) 48 42 36 30 24 18 12 6 0 0 PPF 6 Rainier A 18 12 24 30 36 ALMONDS (Millions of pounds) 42 48 ?
When a country has a comparative advantage in the production of a good, it means that it can produce this good at a lower opportunity cost than its trading partner. Then the country will specialize in the production of this good and trade it for other goods. The following graphs show the production possibilities frontiers (PPFS) for Glacier and Denali. Both countries produce corn and pistachios, each initially (i.e., before specialization and trade) producing 18 million pounds of corn and 9 million pounds of pistachios, as indicated by the grey stars marked with the letter A. PISTACHIOS (Millions of pounds) 48 42 36 30 24 18 12 6 0 0 PPF 6 Glacier 12 18 24 30 36 CORN (Millions of pounds) 42 48 ? PISTACHIOS (Millions of pounds) 48 42 36 30 24 18 12 0 0 PPF I 6 | Denali 12 18 24 30 36 CORN (Millions of pounds) 42 48 ?
Motorcycles IH+HB AH+HJ O IH+HJ PPC in Vietnam O AH+HB Rice Motorcycles E In reference to the above graph, suppose Vietnam and Japan are producing and consuming at points A and D, respectively. If they agree on the price shown on the graph as the line GB, then Vietnam's total production of rice will be PPC in Japan ROR,
Comparative and absolute advantage Elijah and Aneesha are farmers. Each one owns an 18-acre plot of land. The following table shows the amount of squash and maize each farmer can produce per year on a given acre. Each farmer chooses whether to devote all acres to producing squash or maize or to produce squash on some of the land and maize on the rest. Squash Maize (Pounds per acre) (Pounds per acre) Elijah 12 3 Aneesha 18 6 On the following graph, use the blue line (circle symbol) to plot Elijah's production possibilities frontier (PPF), and use the purple line (diamond symbol) to plot Aneesha's PPF. Elijah's PPF Aneesha's PPF 0 90 180 270 360 450 540 630 720 810 900 180 162 144 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Brazil can produce 100 pounds of beef or 10 autos. In contrast the United States can produce 40 pounds of beef or 30 autos. Which country has the absolute advantage in beef? Which country has the absolute advantage in producingautos?WhatistheopportunitycostofproducingonepoundofbeefinBrazil?Whatistheopportunitycost of producing one pound of beef in the United States?
4. Specialization and trade When a country has a comparative advantage in the production of a good, it means that it can produce this good at a lower opportunity cost than its trading partner. Then the country will specialize in the production of this good and trade it for other goods. The following graphs show the production possibilities frontiers (PPFS) for Candonia and Desonia. Both countries produce lemons and sugar, each initially (i.e., before specialization and trade) producing 6 million pounds of lemons and 3 million pounds of sugar, as indicated by the grey stars marked with the letter A. Candonia Desonla 16 16 14 14 12 12 PPF 10 10 + PPF 4 10 12 14 16 21 4 10 12 14 16 LEMONS (Milions of pounds) LEMONS (Millions of pounds) Candonia has a comparative advantage in the production of while Desonia has a comparative advantage in the production of comparative advantage. After specialization, the two countries can produce a total of - Suppose that Candonia and Desonia specialize in…
In Japan, one worker can make 5 tons of rubber or 80 radios. In Malaysia, one worker can make 10 tons of rubber or 40 radios. Who has the absolute advantage in the production of rubber or radios? How can you tell? Calculate the opportunity cost of producing 80 additional radios in Japan and in Malaysia. (Your calculation may involve fractions, which is fine,) Which country has a comparative advantage in the production of radios? Calculate the opportunity cost of producing 10 additional tons of rubber in Japan and in Malaysia. Which country has a comparative advantage in producing rubber? In this example, does each country have an absolute advantage and a comparative advantage in the same good? In what product should Japan specialize? In what product should Malaysia specialize?
Use the diagram below to answer the question. Facemask 1200 1000 800 600 400 200 A 0 A PPF 32 200 400 600 800 1000 1200 Ventilator Hospitaland produces and consumes two goods, facemasks and ventilators, by using two inputs, labor and capital. The production possibilities frontier of Hospitaland is shown above. . Under autarky (in absence of trade), Hospitaland produces and consumes a combination of facemasks and ventilators at Point A. At Point A, a relative price of ventilator (Pventilator/Pfacemask) is (Answer up to the first decimal place: e.g. 12.3)