Refer to the information on production possibilities provided in the table below to answer the questions that follow. These are the maximum amounts that can be produced in a week.

----------------------China---------- Thailand----

Tractors--------------30----------------20--------

Motorcycles--------300--------------300-------

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a. Which country has a comparative advantage in which product? Explain how you know.

b. If the two countries decide to trade, what will be the limits to the terms of trade (ie., what are the minimum and maximum number of motorcycles that will be traded for each tractor?