Compiete the feifowing tabte by determining the opportunity cost of a car and of a ten of grain for both the United States and Japan. Opportu nitv Cost of 1 Car 1 Ton of Grain {In terms of tons of grain given up) (In terms of cars given up) United States V v Japan V v Given this informationr V has an absolute advantage in producing carsr and V has an absolute advantage in producing grain. Also, V has a comparative advantage in producing carsr and v has a comparative advantage in producing grain. Assume that without trade, half of each country's workers produce cars and half produce grain. Compiete the feifowing tabte with the quantities of cars produced and consumed in each country if there is no trade. Cars Produced and Consumed Tons oi Grain Produced and Consumed (Millions) (Miions) United States \\:l \\:l l:l l:l Japan True or False: Both countries would he better off if they produced the good in which they have a comparative advantage and then traded 300 million tons of grain for 200 million cars. 0 True 0 False Use the blue line (circle symbol) to graph the production possibilities frontier for the American economy. Then use the green line (triangle symbol) to graph the production possibilities h'on tier for the Japanese economy. (9 500 450 US. 400 350 300 Japan 250 Cars (Millions) 200 150 100 El 100 200 300 400 500 600 700 300 900 1000 Grain {Millions oftons} 6. Ch. 3 Problems and Applications Q2 An American worker can produce either 4 cars or 8 tons of grain a year. A Japanese worker can produce either 4 cars or 5 tons of grain a year. To keep things simple, assume that each country has 100 million workers. Complete the foh'owing table with the number of workers needed to make one car or i ten of grain .I'n the United States and Japan. Workers Needed to Make 1 Car 1 Ton of Grain United States V V Japan V V