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There are two countries in the world: Baralia (hi g country} and Saralia [small country}. The}.r both produce trinkets subject to external economies of scale.

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There are two countries in the world: Baralia (hi g country} and Saralia [small country}. The}.r both produce trinkets subject to external economies of scale. The price per trinket is smaller in Saralia in autarky. Answer the following questions: a} What happens to the output and price of trinkets in Saraha when it opens to trade? b) Is it possible a country can he Worse off if it engages in trade in the presence ofecononiies of scale? Explain

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