4. Suppose that Colombia is good at growing coffee but not very good at making computer software,...

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4. Suppose that Colombia is good at growing coffee but not very good at making computer software, and that Canada is good at making computer software but not very good at growing coffee. The two countries decide to trade with each other. If Colombia decided to grow only coffee and Canada made only computer software, would both countries be better or worse off? Can you think of a similar example from your life?

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Essentials Of Economics

ISBN: 9780393264586

1st Edition

Authors: Dirk Mateer, Lee Coppock, Brian O'Roark

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