Consider the following two countries, Canada and Cuba, which are involved in the production of

two goods, Bacon and Chicken, with the following Production Possibilities maximums. Canada can

produce 360 Bacon and 600 Chicken maximum units, while Cuba can produce 305 Bacon and 120

Chicken maximum units.

a.) Graph the production possibilities curves for Canada and Cuba.

b.) What are the opportunity costs or prices for the two goods for the two countries?

c.) Which country has comparative advantage for each good?

d.) Which country should export which good if involved in trade?

e.) Show on your graph the expanded "consumption" possibilities for each country if they trade.