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To be specific, consider the following unit costs and origins of the parts that are used in assembling the toy in China: Part Source Country

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To be specific, consider the following unit costs and origins of the parts that are used in assembling the toy in China: Part Source Country Cost Plastic eyes China $2 Plastic body Malaysia $10 Plastic legs Taiwan $2 Voice recognition parts US $5 Chips Taiwan $8 That is, each toy uses $2 worth of plastic eyes sourced from China, $10 worth of plastic body sourced from Malaysia, etc. Suppose that the parts in the table above are all that is needed to assemble the toy, i.e., ignore the other parts mentioned in the picture. 1. Under the current system of trade accounting, what is the US bilateral trade balance with China in "Topper the Trick Terrier' trade in per-unit term)? 2. Under the current system of trade accounting, what is the US bilateral trade balance with Malaysia in "Topper the Trick Terrier' trade in per-unit term)? 3. What would be the US bilateral trade balance with Malaysia under the alternative value- added accounting system? 4. What would be the US bilateral trade balance with China under the alternative value- added accounting system

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