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(c) Suppose that before trade takes place, the United States is at a point on its PPF where it produces 20 loaves of bread and

(c) Suppose that before trade takes place, the United States is at a point on its PPF where it produces 20 loaves of bread and 20 units of steel. Once trade becomes possible, the price of a unit of steel is 2 units of bread. In response, the Unites States moves along its PPF to a new point where it produces 30 units of steel and 10 units of bread. draw a graph to show PPF, TOT, and the trade triangle. calculate the trade volume and explain the gains from trade.

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