In Home and Foreign there are two factors each of production, land, and labor used to produce only one good. The land supply in each country and the technology of pro- duction are exactly the same. The marginal product of labor in each country depends on employment as follows:
Number of Workers Employed
Marginal Product of Last Worker
1 20
2 19
3 18
4 17
5 16
6 15
7 14
8 13
9 12
10 11
11 10
Initially, there are 11 workers employed in Home, but only 3 workers in Foreign.
Find the effect of free movement of labor from Home to Foreign on employment, production, real wages, and the income of landowners in each country.