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There are 2 commodities (beef and cars), 2 specific factors (land and capital) and one mobile factor (labor). The production of beef (qB) uses land

There are 2 commodities (beef and cars), 2 specific factors (land and capital) and one mobile factor (labor). The production of beef (qB) uses land (T) and labor (LB), while the production of cars (qC) uses capital (K) and labor (LC). Assume the country of Japania is a "small" country relatively well endowed with capital.

Effects of the movement from Free Trade to Autarky for Japania. Assume Japania suddenly stops trading because of a pandemic

1. Use the relevant diagram to show how the labor allocation changes when the country moves from Free Trade to Autarky. Measure the amount of labor used in cars from left to right along the horizontal axis.

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