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Please solve, thank you Draw a graph of general equilibrium for Country A in which the AUTARKY Price Ratio (PX/Py)=6. Draw a separate graph of

Please solve, thank you

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Draw a graph of general equilibrium for Country A in which the AUTARKY Price Ratio (PX/Py)=6. Draw a separate graph of general equilibrium for Country B in which the AUTARKY Price Ratio (PX/P3,) = 2. But now allow trade between the two countries. Show and Explain: 1. What will the world price ratio be for trade (PX/Py)world ? Why? 2. If trade occurs, explain which country will export which good, and which will Import each good. 3. Show how international trade can help both countries increase their total utility. Explain. Graph

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