China and Thailand jointly produce and efficiently trade tea and noodles. China has a comparative advantage in the production of tea, while Thailand has a comparative advantage in the production of noodles. Their joint PPF is given below: tea 70 35 70 110 noodles Assume that they jointly produce 50 units of tea and 40 units of noodles. Then: China produces units of tea. China produces units of noodles. Thailand produces units of tea.

Q: Bahrain and Bhutan each have 10,000 hours of labor per month. In Bahrain,producing one pound coffee…

A: International trade refers to the import and export of goods and services among different countries…

Q: The U.S. currently trades with China. Suppose the U.S. has a comparative advantage in the production…

A: A country is said to have comparative advantage in producing a good if the opportunity costs of…

Q: Consider the PPF of a country with movies on the horizontal axis and computers on the vertical axis.…

A: Production Possibility Frontier shows different possible combination of two goods that can be…

Q: In the following table, select the amount of each good that each country exports and imports in the…

A: Countries trade based on comparative advantage. A nation might enjoy a flat out benefit, meaning…

Q: United States can produce either 10 units of bread or 30 units of steel per labour hour. Canada can…

A: The given information can be summarised in the table below :-   Bread Steel US 10 30 Canada…

Q: The Table below shows the amount of labor hours needed to produce cars and airplanes by Japan and…

A: In the international market, absolute advantage is the situation when a country has the ability to…

Q: A country should specialize in the production of the good in which it has the lowest opportunity…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Country X Country Y Phones Television sets a) Fill in the table to show that country x has an…

A: Absolute advantage is the ability for producing a good using fewer inputs while comparative…

Q: Consider two neighboring island countries called Contente and Dolorium. They each have 4 million…

A: Hey, Thank you for the question. According to our policy we can only answer up to 3 subparts per…

Q: As a country develops economically, what changes usually take place in the goods it exports? Select…

A: The branch that deals with the department where the primary goal is the betterment of economic,…

Q: Calculate the gains from trade—that is, the amount by which each country has increased its…

A: The question is based on comparative advantage trade. Comparative advantage is when a country is…

Q: In 2017, Ecuador's biggest export was crude (unprocessed) petroleum, 63% of which it exported to the…

A: A country is said to have a comparative advantage when a lower opportunity cost a country poses to…

Q: Eileen has an absolute advantage in the production of rye, and Clancy has an absolute advantage in…

A: Absolute cost advantage: - it is a principle of international trade given by Adam Smith which shows…

Q: Why does Japan specialise in computer production and Korea specialise in apple production?

A: Absolute advantage theory refers to the ability of producing countries that how efficiently they can…

Q: In Qatar, a worker can produce either one unit of salt or two units of pepper. In Korea, one worker…

A: When a product can be produced at a lower opportunity cost by a country than its other trading…

Q: The country of "Econoland" can use its resources to produce either 500 tons of crab or 200 tons of…

A: Here, Two countries are given as Econoland and Arcadonia, which are producing two goods as crab and…

Q: Who has the absolute advantage in the production of cars?   Who has the absolute advantage in the…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three subparts…

Q: Freedonia has a comparative advantage in the production of while Sylvania has a comparative…

A: Comparative Advantage in trade refers to that one country can produce one product at a lower…

Q: Suppose that a worker in Caninia can produce either 2 blankets or 8 meals per day, and a worker in…

A: To understand the decline in output, let us understand the backdrop of the situation before the…

Q: Suppose that Canada can produce 100,000 hockey sticks or 10,000 gallons of maple syrup in a typical…

A: The businesses, and producers are considered to be the suppliers who makes up the supply side of the…

Q: Germany can produce either 40 units of pretzels or 20 units of cars per labour hour. Canada can…

A:

Q: In a two-good, two country world, if one country has a comparative advantage in the production of…

A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity…

Q: Japan, one worker can make 5 tons of rubber or 30 radios. In Malaysia, one worker can make 4 tons of…

A: An absolute advantage refers to the competitive advantage of a firm when it is able to produce more…

Q: In the following table, select the amount of each good that each country exports and imports in the…

A: The theory of Comparative Advantage states that an economy exports a good in which it has…

Q: In the following table, select the amount of each good that each country exports and Imports In the…

A: Given:- Without trade Production and consumption of jeans 12 for Dolorium and for Rye 16 Without…

Q: If each country specializes in the good in which it has a comparative advantage,....will gain from…

A: Introduction According to comparative advantage, countries will trade with others, exporting…

Q: John and Jack run a car washing business. In one week John can wash 36 cars or he can wax 20 cars.…

A: Wash  Wax John 36 20 Jack 24 12 In a week , John can wash and wax more number of cars as…

Q: Two countries are willing to trade and they have the following information: Country A produces 1000…

A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity…

Q: Automobiles                 Computers…

A: According to the question, it is given that :   Automobiles Computers USA 20 15 Germany  15 5…

Q: England and Scotland both produce scones and sweaters. Suppose that an English worker can produce 40…

A: Absolute advantage is the benefit a country has in producing a good more efficiently than other…

Q: Japan can use all of its resources to produce 100 videos or 400 shoes. China can use all of its…

A: The information given can be represented as below:

Q: Brazil is able to produce 10 cars and 5 computers in one hour while India is able to produce 1 car…

A: Comparative advantage refers that it is a tool which is used for calculate the optimal use of two…

Q: France can produce either 50 units or 80 units of wine per labour hour. Canada can produce either 87…

A:

Q: Suppose there are two countries Peru and Japan that produce Food and Fuel. Peru can produce 7,523…

A: The cost of producing 1 unit of food in terms of how many fuels can be calculated as follows:…

Q: Happyland can produce 40 tones of marshmallows or 20 tones of chocolate in a year. Friendshipland…

A: The comparative advantage demonstrates the difference of opportunity cost for producing a commodity…

Q: Assume output was initially 100 wheat and 25 TV's in Country A and 40 wheat and 40 TV's in Country…

A: The production frontier of the two countries are given in the figure in which the graph is steeper…

Q: In the following table, select the amount of each good that each country exports and imports in the…

A: From the above table, following things can be analysed Opportunity cost of producing jeans is less…

Q: South Korea has an absolute advantage in the production of an item, it must also have a comparative…

A: Opportunity cost measures the trade off between two goods.

Q: In the following table, select the amount of each good that each country exports and imports in the…

A: In international economics, according to Ricardian theory of comparative (CA) advantage, a country…

Q: In Exhibit 1, the United States has a comparative advantage in producing:   Group of answer choices…

A: Comparative advantage is having produce a good or service with lower opportunity than another…

Q: In context of International Business and Trade the above example of US and Mexico focuses on…

A: Absolute advantage is when a country is able to produce a good or service more efficiently than…

Q: Candonia has a comparative advantage in the production of tea , while Sylvania has a comparative…

A: Opportunity cost refers to the next best alternative forgone.

Q: _________has absolute advantage in the production of paper. ________ has comparative advantage in…

A: In 12 labour hours Nigeria can produce either 3 boxes of paper or 24 pens. At the same 12 labour…