Question 1 1 pts Suppose there are two goods in the world, beer and chips. The consists of two economies: Elbonia and Genovia. Labor is the only input into production, and one unit of labor can produce beer and chips in each country according to the following table: Bottles of beer per Bags of chips per Country worker worker Elbonia 5 Genovia 10 Prices are expressed in units of bags of chips. Clearly then, the price of a bag of chips is 1. Which country has a comparative advantage in the production of beer? 0 Elbonia Genovia Question 2 1 pts Next, suppose that Elbonia has 100 workers and Genovia has 60 workers. Using the ratio of world supply in the event of free trade with full specialization, what is the world price of beer in terms of chips? Question 3 0.5 pts Based on the price you calculated in the previous question, is full specialization possible? 0 Yes, free trade leads to complete specialization. O No, specialization is incomplete under free trade. Question 4 0.5 pts Which option below describes the pattern of specialization under free trade? O Elbonia produces both beer and chips. O Genovia produces both beer and chips. O Full specialization is possible. Each country specializes in the production of a single good