Suppose there exist two imaginary countries, Everglades and Yosemite. Their labor forces are each capable of supplying four million hours per day can be used to produce almonds, shorts, or some combination of the two. The following table shows the amount of almonds or shorts that can be produced by one hour of labor. Supgose that initially Yosemite uses 1 milion hours of labor per dey to produce almonds and 3 million hours per day to produce shorts, while Everglades uses 3 million hours of labor per day to produce almonds and 1 million hours per day to produce shorts. As a result, Everglades produces 15 million pounds of almonds and 20 million pairs of shorts, and Yosemite produces 8 mililon pounds of aimonds and 48 million pairs of shorts. Assume there are no other countries willing to engage in trade, so, in the absence of trade between these two countries, each country consumes the amount of almonds and shorts it produces. Everglades's opportunity cost of producing 1 pound of almonts is almonds is of shorts. Therefore. a comparative advantage in the production of shorts. has a comparative advantage in the production of almonds, and of sherts, and Yosemite's opportunity cost of producing 1 pound of has Suppose that each country completely specialzes in the production of the good in which it has a comparative advantage, producing only that good, In this case, the country that produces almonds will produce million pairs per day. In the following table, enter each country's production decision on the third row of the table (marked "Production"). Suppose the country that produces almonds trades 18 million pounds of almonds to the other country in exchange for 54 million pairs of shorts. In the following table, select the amount of each good that each country exports and imports in the boxes across the row marked "Trade Action," enter each country's final consumption of each good on the line marked "Consumption." When the two countries did not specialize, the total production of almonds was 23 million pounds per day, and the total production of shorts was 68 milion pairs per day. Because of specialization, the total production of almonds has increased by production of shorts has increased by million pairs per day. million pounds per day, and the total Because the two countries produce more aimonds and more shorts under specialization, each country is able to gain from trade. Calculate the gains from trade-that is, the amount by which each country has increased its consumption of each good relative to the first row of the table. In the following table, enter this difference in the boxes across the last row (marked "Increase in Consumption?). enter each country's final consumption of each good on the line marked "Consumption." When the two countries did not specialize, the total production of almonds was 23 million pounds per day, and the total production of shorts million pairs per day. Because of specialization, the total production of aimonds has increased by production of shorts has increased by million pairs per day. million pounds per day, and the tot. Because the two countries produce more almonds and more shorts under specialization, each country is able to gain from trade. Calculate the gains from trade-that is, che amount by which each country has increased its consumption of each good relative to the first row o table. In the following table, enter this difference in the boxes across the last row (marked "Increase in Consumption")