--%>
Assignment Help - homework help

Gain from specialization and exchange

If a Hawaiian can produce 50 bushels of either potatoes or pineapples per acre, whereas an Idahoan manages just 3 bushels of pineapples or 30 bushels of potatoes per acre, then: (1) Idaho’s absolute drawbacks prevent gains from specialization and exchange. (2) The optimal division is if each is self adequate. (3) Both might gain from the specialization and exchange, with Hawaiian growing pineapples and replacing them for Idaho potatoes. (4) Hawaii is very close to Idaho for either side to gain.

Can someone please help me in finding out the right answer from the above question.

   Related Questions in International Economics

  • Q : Need of foreign currency Why foreign

    Why foreign currency or exchange is required? Answer: a) To buy services and goods from other countries. b) To send a gift abroad. c) To buy financial assets in a specific country and d) To contem

    		•
  • Q : Setting tone for subsequent generations

    Who was responsible for setting the tone for following generations of economists?

    		•
  • Q : Positive Balance of Payments I have a

    I have a problem with the satement “Things will look excellent for the US if we could just get to where we are consistently executing a positive Balance of Payments.” Can someone in short comment on this statement?  

    		•
  • Q : Free trade Analyse free trade and

    Analyse free trade and discuss the role of international organisattions in regulating trade between countries. How the control of trade has impacted positively or negatively on a company of your choice

    		•
  • Q : Scarcities in International markets

    Assume that many people are willing and capable to pay greater than production costs for certain goods however pervasive shortages exist. International agreements or domestic laws and policy are most likely key factors if we consider sustained scarcities in ma

    		•
  • Q : Influence of supply in exchange rate

    Normal 0

  • Q : Circular flow model In simple circular

    In simple circular flow model, the only entities which finally consume goods, own resources, pay taxes or bear the loads of inflation, experience joy, or suffer pain, are as: (i) corporations. (ii) Households. (iii) Government agencies. (iv) Business

    		•
  • Q : Rise in the exchange rate-always good

    ‘The pound has enhanced today on the foreign exchange market’ is a general media comment whenever the pound sterling appreciates. When the pound appreciates is it always excellent news for business and the economy?’

    		•
  • Q : Wars that have an impact on Global

    I need an outline paper and a 15 page research paper double space on this topic. I have to provide at least 5 cited reports, but not limited to just 5 cites. Professor made comment below. The topic is too broad and I suggest that you focus on a war for which you can get enough economic data to

    		•
  • Q : Kind of exchange rate State which kind

    State which kind of exchange rate has no official intervention in foreign exchange market? How it is recognized?

    		•