Q4. Suppose the technologies available to countries A and B are given by the following table: S 10 8. 20 4 Suppose that the wage rate in A, WA, equals $10 per hour; then, for mutually beneficial trade to occur, the wage rate in B, when measurered in dollars, EWn, must lie in a range from $X to $Y. Calculate X and Y and explain your answer.

Q4. Suppose the technologies available to countries A and B are given by the following table: S 10 8. 20 4 Suppose that the wage rate in A, WA, equals $10 per hour; then, for mutually beneficial trade to occur, the wage rate in B, when measurered in dollars, EWn, must lie in a range from $X to $Y. Calculate X and Y and explain your answer.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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