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In Canada, one labour hour can produce 6 bagels or 24 chairs. In the US, one labour hour can produce 10 bagels or 16 chairs.
In Canada, one labour hour can produce 6 bagels or 24 chairs. In the US, one labour hour can produce 10 bagels or 16 chairs. Suppose that US follows its comparative advantage in deciding to produce and trade with Canada at a trade price of 2.8 chairs per bagel. For every 1600 units of the good the US produces and trades, what is the gains from trade in terms of the other goods?
do not round answer until you reach the final answer please!
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