1.Suppose Singapore is endowed with 100 units of labour. With 1 unit of labour, it can produce either 1 computer or 5 cameras. The world relative price of computers in terms of cameras is 15.

a.Determine Singapore's comparative advantage.

b.Draw the production-possibility curve indicating the point at which Singapore will choose to produce under free trade.

c.Show the combinations of computers and cameras for consumption under free trade. Hint: Show the amount of exports and imports.