Consider the following table that presents the labour requirements for production in the East and West (labour hours per unit of output)

	Food	Clothing
East	10	20
West	5	15

Answer the following questions:

a) Does the East have anabsolute advantage in clothing production? Does the West have anabsolute advantage in clothing production? Does the East have anabsolute advantage in food production? Does the West have anabsolute advantage in clothing production? Explain. (2)

b) Does the East have acomparative advantage in clothing production? Does the West have acomparativeadvantage in clothing production? Does the East have acomparative advantage in food production? Does the West have acomparative advantage in clothing production? Explain. (2)

c) In the West, what is the opportunity cost of producing one more unit of food? In the East, what is the opportunity cost of producing one more unit of food? Explain. (3)

d) Under free trade, where should East and West produce food and clothing, so as to maximize the production of food and clothing? Explain. (3)