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2. Consider an offshoring model in which Horne country's skill premium moods the Foreign comioy's skill premium. The other assumptions of the model are the

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2. Consider an offshoring model in which Horne country's skill premium moods the Foreign comioy's skill premium. The other assumptions of the model are the same as in the one we discuss in class {e.g. the wages of both types of labor are higher in the Home country than in the Foreign country]. Answer the following questions. He sure to show your steps. (3 points, 2 points each] {1) 1Will the Home country offshore skilled-intensive activities or unskilled-intensive activities? Explain

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