1.shoes are labor-intensive and computers are capital-intensive. suppose that trade starts to happen between home and foreign countries. the shapes of the ppfs for two countries is given below, which nation will witness an increase in its labors' real earnings?

Shoes 500 225 B 150 U. D 175 200 300 Computers the indifference curve the production possibilities frontier the import demand schedule the export supply schedule(Figure: Home and Foreign Autarky Equilibria) Shoes are labor-intensive and computers are capital-intensive. Suppose that trade starts to happen between Home and Foreign countries. The shapes of the PPFs for two countries is given below, which nation will witness an increase in its labors' real earnings? Home Foreign Shoes | B Shoes C- C Computers Computers both Home and Foreign Home Foreign neither Home nor Foreign . Previous Next