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The following are production possibilities tables for Mexico and the United States. Assume that before specialization and trade the optimal product-mix for Mexico is alternative

The following are production possibilities tables for Mexico and the United States. Assume that before specialization and trade the optimal product-mix for Mexico is alternative C and for the United States alternative T.

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Show all work. Mexico Before Specialization Trade After Gains Coffee Milk U.S.A. Coffee MilkProduct Mexico production possibilities A B C D E Coffee (in gallons) 0 20 24 40 60 Milk (in gallons) 15 10 9 5 0 Product U.S. production possibilities R S T U V Coffee (in gallons) 30 33 60 90 Milk (in gallons) 30 20 19 10 0

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