Question 4 5 pts Assume that the United States and China each produce steel and toys. The following are the production possibility schedules for each nation. Answer the questions below based on the PPF schedules. United States 1. Which country has absolute advantage in the production of steel? 2. Which country has absolute advantage in the production of toys? 3. Which country has comparative advantage in the production of toys? 4. Which country has comparative advantage in the production of steel? 5. If the two countries specialize and trade with each other, which country will import steel? Question 7 3 pts Price Price $15 $6 6 C 3 0 Quantity Demanded 8 12 16 (a) Quantity Demanded (b) Using graph (b) in Figure 6-3, calculate the elasticity of demand (using the mid-point formula) for a price change of $15 to $6. Elasticity of Demand [ED_