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[3.1L] [3|] points] By calculating equilibrium variables in autarky and in trade for the small country, complete Table 2. Table 2: Equilibrium 1niariablee 1' '_

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[3.1L] [3|] points] By calculating equilibrium variables in autarky and in trade for the small country, complete Table 2. Table 2: Equilibrium 1niariablee 1' '_ -m- {3.3.} [15 points] For each row of Table 2, except the goods' price ratio? explain the economic intuition for the direction of the change in moving from autark},r to trade. 3. This question is a computational question on the Specic Factors model. There is a small country who may or may not be trading with the rest of the world. There are thin} nal goods, microchips (M) and apples {A}. There are three types of labour used in production, general labour which is used in both industries, high-skilled labour which is used only in production of microchips, and low-skilled labour which is used only in production of apples. The tecluiologies for producing the goods in the small country are given by: QM = teal-ts}? Qa = teal-StLl-i. where GM and GA are input of general labour into microchips and apples respectively; and S and L are the supplies of high-skilled labour and low-skilled labour respectively. There are four types of households in the small country and each household has one unit of labour but the type of labour they have may vary. Households are described in the following table. Table 1: Households Household Type Number of Households Type of Labour Utility Function -- salami-7 - tat-stat "n taste-1 "n tattle Recall that if the utility function takes the Cobb-Douglas form of Um\

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