Which country will be exporting and importing which product? O England will be exporting both wine and cloth O Portugal will be importing wine and importing cloth O Portugal will be exporting cloth and importing wine O England will be exporting wine and importing cloth None of the above
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Which country will be exporting and importing which product?
A) England will be exporting both wine and cloth
B) Portugal will be importing wine and importing cloth
C) Portugal will be exporting cloth and importing wine
D) England will be exporting wine and importing cloth
E) None of the above
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- Clipboard Image lools Shapes 100 200 300 400 500 600 700 800 900 1000 1100 The following diagram is for Country A based on the Ricardo madel. Wheat (millions) 30 Terms of Trade E 15 PPF Corn 25 30 50 (millions) Refer to the figure above. Imports of this country equal O 25 million corns O 50 million corns O 15 million wheat O eat 30 million wh +1503, 451px 1 1024 x 744px 1L 1688 × 1240px P Type here to search 1009Time it takes to produce one car | Time (hours) it takes to produce one Laptop (hours) Canada 2,000 4 China 3,200 8 Which good will China export and which good will Canada export? O Canada will export cars and China will export laptops. O Canada will export laptops and China will export cars. O China will export laptops and cars. Canada will export neither goods. O Canada will export laptops and cars. China will export neither goods.nave a n ab je in bothi good because they both produce boots and shirts. 40- 38- 36- B. Neither country has an absolute advantage in both goods because the United States can produce more boots but Canada can produce more shirts. 34- 32- 30- 28- 26- 24- 22- 20- 18- 16- 14- 12- 10- 8- C. The United States has an absolute advantage in both goods because it can produce more boots and more shirts. PPFUS. D. Neither country has an absolute advantage in both goods because Canada can produce more boots but the United States can produce more shirts. O E. Canada has an absolute advantage in both goods because it can produce more boots and more shirts. US 6- Suppose initially that the United States is consuming 4 boots and 8 shirts and Canada is consuming 18 boots and 2 shirts, as indicated in the figure. Then, suppose the United States and Canada specialize by each only producing the good for which they have a comparative advantage and then trade. In particular, suppose the United States trades…
- Figure 3-8 Chile's Production Possibilities Frontier 20 soybeans 18 16 14+ 12 10 8 6 4 2 (in pounds) 2 + 4 6 8 10 12 14 16 18 20 coffee pounds) (in 20 soybeans 18 5550 16 14+ 12 10 8 6 4 2 (in pounds) Colombia's Production Possibilities Frontier both goods and import neither good. neither good and import both goods. 2 4 6 8 10 12 14 16 18 20 coffee (in pounds, Refer to Figure 3-8. Chile should specialize in the production of coffee and import soybeans. soybeans and import coffee.Alexandra’s Production Possibilities Schedule Natalia’s Production Possibilities Schedule Number of Scarves Knitted per Hour Number of Sweaters Knitted per Hour Number of Scarves Knitted per Hour Number of Sweaters Knitted per Hour 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 If Natalia were to export a good, which one(s) would she export?25. The countries of Mistania and Boonton each produce two goods: TVs and Computers. The table below lists the production for each good, for each country per year when each country uses half of their resources to produce each good. Country Production of TVs Production of Computers Mistania 175 Boonton 168 What is the opportunity cost of producing 1 TVs in Miscania Computers What is the opportunity cost of producing 1 TVs in Boonton Computers Which country has a comparative advantage in producing TV? Miscania OBoonton ONot enough information Which country has a comparative advantage in producing Computers? Mistania Boonton. ONot enough information If both countries decide to specialize and trade with each other, what would be the outcome? OConsumers in Mistania will not be able to purchase Computers anymore OProducers of Computers in Boonton will be lowering production Consumers in Mistania and Boonton can enjoy more at lower prices Consumers in Boonton will be the ones benefiting from…
- 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. ▼…Lorenzo and Neha are farmers. Each one owns a 12-acre plot of land. The following table shows the amount of alfalfa and barley each farmer can produce per year on a given acre. Each farmer chooses whether to devote all acres to producing alfalfa or barley or to produce alfalfa on some of the land and barley on the rest. Alfalfa Barley (Bushels per acre) (Bushels per acre) Lorenzo 40 8 Neha 28 7 On the following graph, use the blue line (circle symbol) to plot Lorenzo's production possibilities frontier (PPF), and use the purple line (diamond symbol) to plot Neha's PPF. 120 108 Lorenzo's PPF 96 CI OFigure 9-1 The figure illustrates the market for coffee in Guatemala 130 88888888 140 130 120- 110 100 90 70+ S 50 RRS 40 30 89 20 10- Price & 12 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 9. Refer to Figure 9-1. With trade, Guatemala will a. export 22 units of coffee b. export 10 units of coffee. c. import 30 units of coffee. d. import 12 units of coffee. Domestic supply World price Domestic demand + 42 44 46 48 50 52 Quantity
- In the following table, select the amount of each good that each country exports and imports in the boxes across the row marked "Trade Action," and Activity Frame enter each country's final consumption of each good on the line marked "Consumption." When the two countries did not specialize, the total production of pistachios was 23 million pounds per week, and the total production of chinos was 68 million pairs per week. Because of specialization, the total production of pistachios has increased by million pounds per week, and the total production of chinos has increased by million pairs per week. Because the two countries produce more pistachios and more chinos under specialization, each country is able to gain from trade. Calculate the gains from trade-that is, the amount by which each country has increased its consumption of each good relative to the first row of the table. In the following table, enter this difference in the boxes across the last row (marked "Increase in…Table 3-1 Farmer Rancher Labour hours needed to make 1 kilogram: Meat 9 3 Potatoes 3 4 Kilograms produced in 36 hours: Meat 4 12 Refer to Table 3-1. What does each producer have an absolute or comparative advantage in? Potatoes 12 9 The farmer has an absolute advantage in potatoes, and the rancher has a comparative advantage in meat. The farmer has an absolute advantage in meat, and the rancher has a comparative advantage in potatoes. The farmer has an absolute advantage in neither good, and the rancher has a comparative advantage in potatoes. The farmer has an absolute advantage in neither good, and the rancher has a comparative advantage in meat.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?