What good or goods will Foreign specialize and export?

Use the Table 1 to answer the four questions below. Table 1 Good Home Unit Labor Required (aLi Show more Use the Table 1 to answer the four questions below. Table 1 Good Home Unit Labor Required (aLi ) Foreign Unit Labor Required (a*Li ) Relative Home Productivity Advantage (a*Li / aLi ) Apples 1 10 10 Bananas 5 40 8 Coconuts 3 12 4 Dates 6 12 2 Enchiladas 12 9 0.75 If Home wage (w) is three times Foreign wage (w*) (1) What good or goods will Home specialize and export? [2 points] (2) What good or goods will Foreign specialize and export? [2 points] (3) What will Home import? What will Foreign import? [2 points] (4) Pick any one of Homes import and explain why trade is beneficial for Home. Be sure to incorporate the three-to-one wage ratio between the two countries in your explanation. [2 points] Show less

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