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Consider the following data on the factor endowments of two countries, A and B. Reminder: In order to get full credit you must show ALL

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Consider the following data on the factor endowments of two countries, A and B. Reminder: In order to get full credit you must show ALL calculations! Countries A B Labor Force 31 100 Capital Stock 66 85 What is the capital/labor ratio in the country that is relatively capital abundant? Round to two decimal places. Question 5 This is a follow up to the previous question. Reminder: In order to get full credit: you must show ALL calculations! 1. Which country is relatively capital abundant? 2. Which country is relatively labor abundant? 3. Suppose that good R is labor intensive relative to good T. Which country will have comparative advantage in the production of R? How do you know this? 4. What will happen to wage rates and returns to capital in each country

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