What is the situation with respect to comparative advantages

Reference no: EM132177918

Question: 1. In the light of the Ricardian model, how might you evaluate the claim by developing countries that they are at a disadvantage in trade with powerful industrialized countries?

2. Suppose that Portugal requires 4 days of labor to produce 1 unit of wine and 6 days of labor to produce 1 unit of clothing, while England requires 8 days of labor to produce 1 unit of wine and 12 days of labor to produce 1 unit of clothing. Which country has absolute advantages and why? What is the situation with respect to comparative advantages?

Reference no: EM132177918

Questions Cloud

Concepts on which statistical thinking is based : Briefly describe the three main concepts on which statistical thinking is based.

Draw production-possibilities frontiers for countries : Suppose that country A and country B both have the same amount of resources and that country A has an absolute advantage in both steel and wheat.

Evaluate strengths of the organisations strategy : PGBM15 Marketing Management - How to conduct research using relevant marketing journals and business documentation - build a sustainablebrand

What you have learned about the distribution of trade : During the debate prior to the passage of the North American Free Trade Agreement (NAFTA), opponents argued that given the relative size of the two economies.

What is the situation with respect to comparative advantages : Suppose that Portugal requires 4 days of labor to produce 1 unit of wine and 6 days of labor to produce 1 unit of clothing, while England requires 8 days.

Which employee benefit do you personally value the most : Which employee benefit do you personally value the most? Why is it important for organizations to offer benefits to their employees?

Cultures described by trompenaars are pure types : The four organizational cultures described by Trompenaars are “pure” types and seldom exist in practice

Who are the most common perpetrators of date rape : What type of work are most likely to lead to repetitive stress injuries, such as carpal tunnel syndrome, Why? What can workers do to prevent RSI?

What were the original purposes of the imf : What were the original purposes of the IMF? Have they changed since Bretton Woods? What is the justification for IMF surveillance?

User Account

All Pages