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Question: answer questions 1 and 10 based on a global economy...

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Answer questions 1 and 10 based on a global economy of two Ricardian economies (Home, Foreign) whose industry technologies are given in the following table Product Home Foreign aLX = 0.5 0.5 Table 1: Labor hours per unit of outputs Each of these two economies is endowed with 500 labor hours (i.e. L- L*-500) 8. Again, suppose that both Home and Foreign move from autarky to a free-trade regime and that the trade price of product X is 0.4Y. If Home exports 100 units of Y to Foreign, then from this bilateral trade, Homes and Foreigns gains worth product X, respectively and units of A) 50; 75 B) 75; 100 C) 50; 125 D) 75; 150 9. Again, suppose that both Home and Foreign move from autarky to a free-trade regime and that the trade price of product X is 0.4Y. If Home exports 100 units of Y to Foreign, then from this bilateral trade, Homes and Foreigns gains worth product Y, respectively and units of A) 10; 15 B) 15; 20.5 C) 20; 37.5 D) 25; 40 10. Again, suppose that both Home and Foreign move from autarky to a free-trade regime and that the trade price of product X is 0.5Y. If Home exports 100 units of Y to Foreign, then from this bilateral trade, Homes and Foreigns gains worth product X, respectively and units of A) zero; 100 B) 100; zero C) zero; 50 D) 50; zer<o

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