Applications | Rap X N Dashboard X N Cengage Student X MindTap - Cenga X 4. Opportunity Cc X 9 New Tab x G how to take scree X + X - C ng.cengage.com/staticb/ui/evo/index.html?deploymentld=5982802410503139790502050164&eISBN=9780357133637&id=12671940958snapshotld=25514378 Apps Max'S Gmail @ YouTube . Maps 3 The Person deposit... Reading list Samir v CENGAGE |MINDTAP Q Search this course ? My Home Homework (Ch 03) X Courses Back to Assignment Catalog and Study Tools Attempts Keep the Highest / 4 Rental Options 3. Gains from trade College Success Tips A-Z Consider two neighboring island countries called Felicidad and Bellissima. They each have 4 million labor hours available per month that they can use Career Success Tips to produce jeans, corn, or a combination of both. The following table shows the amount of jeans or corn that can be produced using 1 hour of labor. O RECOMMENDED FOR YOU Jeans Corn Country (Pairs per hour of labor) (Bushels per hour of labor) Felicidad 8 32 Bellissima 12 24 Tips for Online Test Taking Initially, suppose Bellissima uses 1 million hours of labor per month to produce jeans and 3 million hours per month to produce corn, while Felicidad pango ? Help uses 3 million hours of labor per month to produce jeans and 1 million hours per month to produce corn. Consequently, Felicidad produces 24 million Give Feedback pairs of jeans and 32 million bushels of corn, and Bellissima produces 12 million pairs of jeans and 72 million bushels of corn. Assume there are no other countries willing to trade goods, so, in the absence of trade between these two countries, each country consumes the amount of jeans and corn it produces.Applications | Rap X N Dashboard X N Cengage Student X MindTap - Cenga X 4. Opportunity Cc X 9 New Tab x G how to take scree X + X - C ng.cengage.com/staticb/ui/evo/index.html?deploymentld=5982802410503139790502050164&LeISBN=9780357133637&id=1267194095&snapshotld=2551437& Apps Max'S Gmail @ YouTube . Maps 3 The Person deposit... Reading list Samir v CENGAGE |MINDTAP Q Search this course ? My Home Homework (Ch 03) O X Courses Felicidad's opportunity cost of producing 1 pair of jeans is of corn, and Bellissima's opportunity cost of producing 1 pair of jeans is Catalog and Study Tools of corn. Therefore, has a comparative advantage in the production of jeans, and has a comparative advantage in the production of corn. Rental Options Suppose that each country completely specializes in the production of the good in which it has a comparative advantage, producing only that good. In College Success Tips this case, the country that produces jeans will produce million pairs per month, and the country that produces corn will produce A-Z Career Success Tips million bushels per month. O RECOMMENDED FOR YOU In the following table, enter each country's production decision on the third row of the table (marked "Production"). Suppose the country that produces jeans trades 26 million pairs of jeans to the other country in exchange for 78 million bushels of corn. In the following table, select the amount of each good that each country exports and imports in the boxes across the row marked "Trade Action, " and Tips for Online Test Taking enter each country's final consumption of each good on the line marked "Consumption." When the two countries did not specialize, the total production of jeans was 36 million pairs per month, and the total production of corn was 104 ? Help million bushels per month. Because of specialization, the total production of jeans has increased by million pairs per month, and the total production of corn has increased by million bushels per month. Give Feedback Because the two countries produce more jeans and more corn under specialization, each country is able to gain from trade.Applications | Rap X N Dashboard X N Cengage Student X MindTap - Cenga X 4. Opportunity Cc X 9 New Tab x G how to take scree X + X - C ng.cengage.com/staticb/ui/evo/index.html?deploymentld=5982802410503139790502050164&eISBN=9780357133637&id=1267194095&snapshotld=2551437& Apps Max'S Gmail @ YouTube . Maps 3 The Person deposit... Reading list Samir v CENGAGE |MINDTAP Q Search this course ? My Home Homework (Ch 03) O X Courses Calculate the gains from trade-that is, the amount by which each country has increased its consumption of each good relative to the first row of the Catalog and Study Tools table. In the following table, enter this difference in the boxes across the last row (marked "Increase in Consumption"). Rental Options College Success Tips Felicidad Bellissima A-Z Jeans Corn Jeans Corn Career Success Tips (Millions of pairs) (Millions of bushels) (Millions of pairs) (Millions of bushels) O Without Trade RECOMMENDED FOR YOU Production 24 32 12 72 Consumption 24 32 12 72 With Trade Production Trade action Tips for Online Test Taking Consumption Gains from Trade Increase in Consumption bongo ? Help Give Feedback Grade It Now Save & Continue Continue without saving
