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1 which country has an absolute advantage in Commodity X ? 2 Which country has an absolute advantage in Commodity Y ? 3 Explain your
which country has an absolute advantage in Commodity X
Which country has an absolute advantage in Commodity Y
Explain your answers to Questions and
based on the production possibilities curves for Country A and country Bcompute the domestic cost ratios for Commodities X and Y
Contry A XY and YX
Contry B XY and YX
which country has a comparative advantage in Commodity X
Which country has a comparative advantage in Commodity Y
Explain your answers to questions and
if the international terms of trade is yX and country A is at point P while country B is at point Q show the impact on consumption if specialization and trade is allowed to take place.
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