Q1. (35 points) Suppose all the standard assumptions of the Heckscher-Ohlin (H-O) Model hold in a hypothetical world. In this world, there are two economies: A and B. Both economies produce computers and shoes using only skilled workers and unskilled workers with identical constant return to scale production technology (that is not Leontief type. You can ignore the information in this parenthesis if you have no idea what's Leontief production technology.) < The production of computers is skilled-worker intensive and the production of shoes is unskilled- worker intensive. Country A has 20 million skilled workers and 10 million unskilled workers. Country B has 15 million skilled workers and 5 million unskilled workers. < For all the graphs you draw for Q1, always put shoes on the horizontal axis and "computers" on the vertical axis. < 1) (4 points) Which country is the skilled abundant country? Explain your answer. < 2) (6 points) Draw the PPF of country A and country B on the same graph. Clearly label the PPFs and explain your graph with factor abundance and factor intensity. < 3) (2 points) In the autarky equilibrium, which country has a lower relative price for computers in terms of shoes? Which country will export computers in the free trade equilibrium? 4) (9 points) Are there gains from trade for country A and country B? Demonstrate your answer with graphs. Clearly label relative prices of goods and indifference curves in both the autarky and free trade equilibrium for full credits.