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14. Labor in Westland and Eastland can be used to produce steel or sophisticated electronics. The unit labor requirements (amount of labor required to make
14. Labor in Westland and Eastland can be used to produce steel or sophisticated electronics. The unit labor requirements (amount of labor required to make 1 unit of output) are given by the following table: Goods Countries Westland Eastland Electronics 10 Steel 5 Suppose that workers in both countries are paid in a common currency called gold. Find a relative wage rate for Westland and Eastland (in terms of gold) that will support the pattern of trade suggested by comparative advantage. A) 5/3
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