co21 essences International EconomiesA Homework 1 (ll Let's assume that the host country is a small country. It produces and sells automobiles at price P. [in the other hand, the automobile is transacted in the international market at price P""'r (is. host countryr is an exporter of automobiles}. ME (slompared to closed economy, the total surplus of the host country;' under international trade is A. increasing E. decreasing l[IslUnder the closed economy, the consumer surplus of the host country is E. b C a+c+e D. a+c E. a+b+e+e+f (cl Under free trade, the producer surplus of the host country is A. b E. b+f E. b+c+e+f D. h+c+d+e+f (11} Compared to olooed economy. the change of the total surplus of the host country under international trade 13 A. a E. {l E. a+d D. e+f (2} The following graph shows the production poaaibility frontier of country A. Please calculate country A's opportunity coat of producing automobiles. Quantity of M o 1000 13m zone (35'5\" A. B E. 4oo E. 2 D. '2 E. {15 F. 115