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Suppose that Spain and France both produce ships and grapes, which are sold for the same price In both countries. The table below shows the combinations of the two goods that each country

Suppose that Spain and France both produce ships and grapes, which are sold for the same price In both countries. The table below shows the combinations of the two goods that each country can produce in one year using the same amounts of capital and labor. With specialization, Spain produces only grapes-75 tons--and France produces 75 ships. If the terms of trade are 1 ship for 1 ton of grapes, and that according to the trade agreement 30 ships are traded for 30 tons of grapes, how many tons of grapes can France consume with trade? Provide your answer as a number rounded to two decimal places. Use to indicate negative amounts. Do not include any symbols, such as "$." "=""%," or in your answer. Ships Ships 0 10 20 30 40 50 Spain Grapes (in tons) 75 60 45 30 15 15 30 45 60 75 France Grapes (in tons) 50 40 30 20 10 0

Apr 12 2021 View more View Less

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