1. Using the data in the table (in the attached document), answer the following question;a. For which good does Canada have a comparative advantage?;b. For which good does Italy have a comparative advantage?;c. What might be a set of favorable terms of trade for the two countries?;d. Prove that both countries would be better off in the specialization-trade case than in the no-specialization-no-trade case.
Paper#15365 | Written in 18-Jul-2015Price : $27