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Two countries are willing to trade and they have the following information: Country A produces 1000 units of wheat and 500 units of cell phones
Two countries are willing to trade and they have the following information: Country A produces 1000 units of wheat and 500 units of cell phones in a year. Country B produces 600 units of wheat and 400 units of cell phones a year. Both countries have the same population.
a.) Find the comparative advantage of each country.
b.) If they engage in trade what product will each country export and import.
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