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Monthly linear production possibility frontier

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Reference no: EM131053889

France and Poland each have one worker whose monthly linear Production Possibility Frontier indicates the following production possibilities:

Poland France

Computers (C) 24 6

Grain (G) 4 3

(a). France's opportunity cost of G in terms of units of C equals ________.

(b). Poland's opportunity cost of G in terms of units of C equals ________.

(c). Poland's comparative advantage is in _____ because:

(d). If France and Poland decide to trade, _______ will be the exporter of G while _______ will be the importer because:

(e). If the economies choose to trade, the world relative price of the goods must be _______________ in order for trade to be mutually beneficial, because:

Reference no: EM131053889

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