The countries USA and China produce computers and rice using only labor as an input. Available Labor for USA and China is 6000 and 2000 respectively. Unit of labor per computer in USA is 6 units and in China are 5 units. USA needs 2 units of labor to produce rice and China needs 1 unit of labor. a) Draw the PPC by using relevant information.  b) Which country has the comparative advantage in producing rice?

Q: n Germany it takes three workers to make one television and four workers to make one video camera.…

A: TV Video game Germany 3 4  Poland 6 12

Q: Country A can produce either 200 personal computers or 800 tons of potatoes with the same amount of…

A: (1). Country B has the absolute advantage in producing personal computers because it produces 300…

Q: The PPFs below shows how many airplanes and pizzas Country A and Country B can produce with a…

A: Comparative advantage means that a country has an advantage in producing a good relative to the…

Q: In the no specialization-no trade case, country X produces and consumes 60 units of good A and 10…

A: What rate the commodities will be exchanged in the international trade it is given by classical…

Q: An American worker can produce either 5 cars or 8 tons of grain a year. A Japanese worker can…

A: United States: Production of 5 cars requires 1 workers in one year Implies, 5 cars = 1 worker 1 car…

Q: The table shows the units of output a worker can produce per hour in Germany and Korea for two…

A: A country has a comparative advantage if it can produce an item or service at a lower/less…

Q: The above tables represent the production possibilities frontiers (PPFs) for two different countries…

A: Answer - Need to find - The overall gain in production that would occur from each country…

Q: Question 5 Suppose there are two countries Peru and Japan that produce Food and Fuel. Peru can…

A: Since you have posted multiple subparts, as per the guidelines we can solve only first 3 subparts.

Q: Absolute Advantage Labor Hours Cloth (1 Yard) Wheat (1 Bushel) United States 2.0 0.5 Rest of the…

A: Trade refers to the exchange of goods and services across borders. Economist argues in the favour of…

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: Use the PPC tables for the US. and Taiwan from Question #4 to answer the question below If there is…

A: Comparative advantage signifies the ability of a country to manufacture a specific product with a…

Q: Question 1: Using the same amount of time and resources. Sara can either write 100 lines of code or…

A: The comparative advantage delineates the benefits that an individual enjoys when he/she can make a…

Q: (a) On two separate graphs sketch the initial PPF for the two countries with Food on the x-axis. (b)…

A: Given information:   Peru can produce either 7,523 units of food or 17,853 units of fuel using 8000…

Q: Suppose Mexico can produce either 2 million tomato plants or 2 million cannabis plants while the…

A: Opportunity cost is the cost of producing 1 good in terms of other. Opportunity cost shows the…

Q: (Parts a-c) Assume two countries, Gisslovia and Gerardania, both have 1200 units of labor that can…

A: Subpart a: In Gissolvia 600 units of labor is producing food. Thus, total unit of food production is…

Q: Suppose Country A can create 200 tons of capital-intensive goods or 200 tons of labor-intensive…

A: Country A can create 200 tons of capital-intensive goods or 200 tons of labor-intensive goods in one…

Q: Austria can produce 1 unit of food using 12 hours of labour time and 1 unit of machinery using 4…

A: Production possibility frontier is a graphical representation of different combinations of outputs…

Q: Homework (Ch 03) When country has a comparative advantage in the production of a good, it means that…

A: The opportunity cost of production refers to the amount of a commodity that must be sacrificed to…

Q: Suppose Martha and Julia both work at a bakery making bread and muffins. In an hour, Martha can…

A: Comparative advantage is based on opportunity cost. Absolute advantage is based on the number of…

Q: In USA one unit of labor can produce 25 computers or 25 bushels of wheat. In Thailand one unit of…

A: Since you have posted a question with multiple sub-parts, we are answering the first three sub-parts…

Q: A market that is operating efficiently maximizes producer surplus. maximizes total surplus. O…

A: Hey, thank you for the question, since there is multiple question posted, according to our policy we…

Q: Show on the PPF how both Germany and France gain from trade. B) How many units of apples and…

A:

Q: 2.1) Which country has the comparative advantage of cloth and in machines? Show your calculations.

A: In this case, we have to discuss the term comparative advantage. Comparative advantage actually…

Q: country, X has a comparative advantage in producing game console. Suppose recently, the Education…

A: Answer: Introduction: Comparative advantage: If a country has the least opportunity cost of…

Q: Due to specialization and trade, Country 2 will be able to consume an extra  ________ units of Good…

A: Theory of Comparative advantage analyses the economy's ability of a country to produce a particular…

Q: Freedonia Lamponia 16 16 14 14 12 12 PPF 10 10 8 8 PPF 4 2 2 + 4 8 10 12 14 16 2 4 8 10 12 14 16…

A: Comparative Advantage of a nation in producing certain goods is said to be the relative ability of…

Q: Using the numbers in the table, determine which country has a comparative advantage in producing…

A: When a decision is made to devote resources (such as time, money, or effort) to a particular choice…

Q: Refer to the accompanying production possibilities tables. Data are in millions of units. Suppose…

A: From the table it has to be found which country has a comparative advantage(CA) in which good, which…

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

A:

Q: Suppose countries A and B produce and consume (assuming convex preferences) apples and bananas using…

A: Given:Labor force=100  Unit cost for apples in country A=2 Unit cost for apples in country B =1…

Q: China and Thailand jointly produce and efficiently trade tea and noodles. China has a comparative…

A: In the international market, when two countries make a trade transaction on the basis of comparative…

Q: The countries of Sanaton and Microtania each produce two goods: Airplanes and Computers. The table…

A: Opportunity cost: When a country picks an option then it has to foregone other options. And the…

Q: Gary and Brenda both have similar businesses in the garment industry making caps and backpacks. In…

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

Q: Assume that Greece has a comparative advantage in fish and Germany has a comparative advantage in…

A: Each country will specialize in the production where it has comparative advantage. In that way…

Q: Assuming labor is the only resource and England has 60 man-hours (mhrs) and Portugal 180 mhrs of…

A: Absolute advantage refers to a condition where a country, individual, or entity can produce a…

Q: Estonia Finland One Cell Phone 40 hours 15 hours Lumber (per board foot) 8 hours 4 hours Table 2-5…

A: Comparative advantage refers to the ability of a country to produce a good or service at a lower…

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: