QUESTION 8Question 3b- 5Trade triangles of the partner and the homecountry in a two-country analysis are congruentbecause:O Trading prices (Px/Py) are different for each country.O Exports of the home country are imports of the parther country.O Trading prices (Px/Py) are lower for each country.The general equilibrium condition is met by both countries.

When talking about international trade, a trade triangle arises due to the opening up economies for…

Answered: Question 3b- 5 Trade triangles of the…

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains From Trade

Section: Chapter Questions

Problem 4CQQ

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Question 3b- 5 Trade triangles of the partner and the home country in a two-country analysis are congruent because: Trading prices (Px/Py) are different for each country Exports of the home country are imports of the partner country.