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U.S. Cloth 300 Machine 100 India Cloth 300 0 Machi Refer to the table above,In a simple economy with two countries, the U.S. and India. Consider two products, cloth and machines . Show all

U.S. Cloth 300 Machine 100 India Cloth 300 0 Machi

Refer to the table above,In a simple economy with two countries, the U.S. and India. Consider two products, cloth and machines .

Show all the math work

a.) Draw the PPC for both Countries

b.) What should each country specialize in?

c.) Exchange rates are: 4 cloth for one machine, 0.25 machine for one cloth?

d.) Draw the trading possibilities line for both countries.

e.) Currently U.S. is producing 150 cloth and 50 machines. India is producing 100 cloth and 40 machines, what are the gains from specialization?

Jul 01 2021 View more View Less

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U.S. Cloth 300 Machine 100 India Cloth 300 0 Machi Refer to the table above,In a simple economy with two countries, the U.S. and India. Consider two products, cloth and machines . Show all

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