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The Production Possibility Frontier of a country O is the set of allocations of goods that can be produced using the available factor endowment in

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The Production Possibility Frontier of a country O is the set of allocations of goods that can be produced using the available factor endowment in a country. has a slope that reflects the risk attidues of the consumers. O is the set of feasible allocations of goods in a country such that all resources are fully used. O has a slope equal to the ratio of the international factor market prices. QUESTION 7 Suppose country A and B have a labour force of 1 and produce hops and barley using only labour. Country A's unit labour cost are 0.25 for hops and 0.25 for barley, country B's 0.2 for hops and 0.05 for barley. Suppose that both are needed to brew beer in equal quantitiy (one unit of hops and barley each yield one unit of beer), so that both national and international demand has the property that equal amounts of barley and hops are demanded. How much more beer (as a percentage) will be brewed under international trade than in autarky? Please enter the percentage rounded to a whole number (up or down is both acceptable) without the percentage sign

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