Suppose the following output and labor hours

Assignment Help Macroeconomics

Reference no: EM1340168

International Trade and Comparative Advantage

Assume the following output and labor hours for Russia and Germany in producing Wheat and Cloths

Russia Wheat 3 Cloths 6 Labor Hours 100
Germany Wheat 2 Cloths 2 Labor Hours 50

a. Which country has the comparative advantage in wheat?
b. Which country has the comparative advantage in cloth?
c. Which country has the absolute advantage in wheat?
d. Which country has the absolute advantage in cloth?
e. Which good will Russia specialize in?
f. Which good will Germany specialize in?
g. Give the most obvious terms of trade.

Reference no: EM1340168

Questions Cloud

Creating project schedule for trade show project : What tools do you think would be the most helpful for creating the project schedule for your trade show project?

Find out the likelihood of your eye color : Using Mendelian genetics you can find out the likelihood of your eye color, your hair color, some things that fall in these lines, but at the age of 25 I would like to know how I can determine when I will have a head full of white hair.

Use of mm''s proposition : Use MM's proposition 2 to calculate the new cost of equity.

Explain organizational behavior- psychological contract : Explain Organizational Behavior- Psychological Contract and When he joined the company five years ago and the supervisor who hired him said Jack could use the company's old pick-up truck on weekends

Suppose the following output and labor hours : Suppose the following output and labor hours for Russia and Germany in producing Wheat and Cloths.

What is the most abundant class of enzyme : Why can't a monomeric receptor tyrosine kinase recruit proteins to the receptor? What would happen if the GTP-ASE protein(GAP) were inhibited?what is The most abundant class of enzyme.

Preparing condensed budget for rooms department : Prepare a condensed budget for the rooms department.( Assume that the hotel is open 365 days a year.)

Some possible platforms on which to comparative : Some possible platforms on which to write are comparative advantage, gains from trade, World Trade Organization and trade restrictions.

Explain how interest rates impact the scenario : Create a scenario where an investor would benefit from using forward and future contracts to hedge and Explain how interest rates impact the scenario.

User Account

All Pages