Apple Republic and Banana Republic have 60,000 workers and 120,000 workers, respectively, and labor is the only factor of production. Unit labor requirements for both countries are given in the table below. Units of labor required per unit of output Apple Banana 4 4 2 8 Compute relative autarky price ratios (price of pork relative to that of fish) for both countries, defined as Pp/PF. Pork Fish
Apple Republic and Banana Republic have 60,000 workers and 120,000 workers, respectively, and labor is the only factor of production. Unit labor requirements for both countries are given in the table below. Units of labor required per unit of output Apple Banana 4 4 2 8 Compute relative autarky price ratios (price of pork relative to that of fish) for both countries, defined as Pp/PF. Pork Fish
Chapter18: International Trade And Comparative Advantage
Section: Chapter Questions
Problem 2TY
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![Apple Republic and Banana Republic have 60,000 workers and 120,000 workers, respectively, and labor is the only factor of production. Unit labor requirements for both
countries are given in the table below.
Units of labor required per unit of output
Banana
Apple
4
2
Compute relative autarky price ratios (price of pork relative to that of fish) for both countries, defined as Pp/PF.
Pork
Fish
4
8](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ffc813f77-d949-4b42-bc2e-bf9ce4a40a40%2F9e765127-9b89-4d81-a152-1d681442e721%2Fjpdlba_processed.png&w=3840&q=75)
Transcribed Image Text:Apple Republic and Banana Republic have 60,000 workers and 120,000 workers, respectively, and labor is the only factor of production. Unit labor requirements for both
countries are given in the table below.
Units of labor required per unit of output
Banana
Apple
4
2
Compute relative autarky price ratios (price of pork relative to that of fish) for both countries, defined as Pp/PF.
Pork
Fish
4
8
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