Specic factors model: Suppose there are two countries: Thailand and Guatemala. Each country can produce potato chips (P) using unskilled labor (U) and capital (K); and computer chips (C) using skilled labor (S) and capital (K). While capital (K) can be used in either sector, skilled workers are specic to computer chips, andunskilled workers are specic to potato chips. The two countries are exactly the same in every way except the supply of skilled workers is higher in Thailand than it is in Guatemala. a) Draw a diagram that shows the demand for capital in autarky, with the rental rate of capital (1') on y-axis and the allocation of capital between the two sectors in each country on the x-axis. Please carefully label all axes, origins and equations and name of the curves. Briey explain. b) Which country has comparative advantage in produce computer chips? Explain why. 0) Now assume Thailand and Guatemala start trading. i) What happens to the relative price of computer chips in Thailand? Briey explain. ii) What happens to the allocation of capital in Thailand? Please show your answer graphically, carefully label all axes and origins of your graph, and explain in words and! or equations