The remote island nations of Nearway and Farway produce fish and coconuts and have recently decided to engage in trade with one another. Without trade, Nearway can produce either 400 coconuts or 200 fish and Farway can produce either 450 coconuts or 300 fish. And without trade, the two countries choose the production of each good such that its people can consume some of each. The table below summarizes the maximum outputs as well as the chosen output level for both countries. T T s aximum Producion Chosen Production Calculate the opportunity costs of producing fish and coconuts in Nearway and Farway, and then complete the table below. (Round your responses to two decimal places.) Opportunity Cost Which nation has an absolute advantage in the production of each good? Farway has an absolute advantage in the production of fish. Farway has an absolute advantage in the production of coconuts. Which nation has a comparative advantage in the production of each good? Farway has a comparative advantage in the production of fish. Nearway has a comparative advantage in the production of coconuts. Assume that Nearway and Farway completely specialize according to their comparative advantage and decide to trade. Using what you have learned from above, fill in the blanks in the table below. Chosen Production Specialization: Production with Trade Traded Goods -_ The terms of trade are 1.6 coconuts per fish. (Round your response to two decimal places.) Who benefits from trade? Nearway benefits, but Farway does not benefit from trade. Farway benefits, but Nearway does not benefit from trade. Both nations benefit from trade. o 6o n Neither nation benefits from trade