What does this imply as regards international trade theory

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Q. On January 1 2007, fish sold for $2.50/pound, meat $3.00/pound, fruit $1.50/pound. At the end of the yr, the catch was low also fish prices had increased to $5.00/pound, fruit stayed at $1.50/pound also meat fallen to $2.00/pound. Illustrate what happened to the overall "price level"? How might you construct a measure of the "change in the price level"? Illustrate what additional information might you need to construct your measure?

Q. By signing a trade agreement illustrate what does this imply as regards international trade theory of the Ricordian model?

Reference no: EM1322945

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