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Question Consider the example of trade between the United States and Thailand described in the tables below. # of workers needed to # of workers
Question Consider the example of trade between the United States and Thailand described in the tables below. # of workers needed to # of workers needed to Country produce 1,000 units- Socks produce 1,000 units- Cell Phones United States 5 workers I worker Thailand 6 workers 3 workers Total Production Before Trade Country Current Sock Production Current Cell Phone Production United States 9, 000 45, 000 Thailand 7. 500 15, 000 Total 16,500 60. 000 Suppose that each country currently has 90 workers and each decides to transfer some amount of labor toward its area of comparative advantage. The United States transfers 10 workers away from socks toward producing cell phones. Thailand transfers 18 workers away from cell phones toward producing socks. What will be the new total output of cell phones for both countries combined
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