3. You are given the following information about the production function of Spain and Romania where the figures in the table renreseut W: Calculator Wine Spain 5 50 Romana 20 60 A) Calculate the opportunity cost of producing a bottle of Wine CW) in each of the two countries and show that even though Spain requires less labor inputs to produce a unit of each of the two goods, Spain can gain from specializing in one of the two goods and trading with Romania. B) Suppose the world price of wine (PWIPC) = 5, would both countries want to trade with each other? 1What if (PWEPJ = 1? IClearly explain your answer. C) Calculators Wine Suppose the above graph represents the before and after trade situations of one of the two countries engaged in trade. The solid black line represents the country's tertns of trade. i) Which country does the graph represent? (this answer follows from your answer to A) above} ii) Points a and b on the graph represents the equilibrium positions of the country. Point a represents and Point b represents iii) Indicate on the graph the quantity of exports and imports of the country