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The amount of resources (in man-hour) required to produce 1 unit of good X or 1 unit of good Y in country A and B
The amount of resources (in man-hour) required to produce 1 unit of good X or 1 unit of good Y in country A and B are:
Country: X : 1 hr , Y : 4 hr
Country : X : 6 hr , Y : 12 hr
Which of the following can be a mutually beneficial terms of trade, i.e. both countries have strictly positive gains from trade?
A. 1X = 2Y
B. 1X = 1Y
C. 1X = 0.25Y
D. 1X = 0.5Y
E. 1X = 0.35Y
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