Problem
Before the 1980s, China did not trade internationally: It was self-sufficient in coal and shoes. Then China began to trade internationally. The world price of coal was less than China's domestic price and the world price of shoes was higher than its domestic price.
1. Does China import or export coal? Who, in China, gains and who loses from international trade in coal? Does China gain from this trade in coal? On a graph of the market for coal in China show the gains, losses, and net gain or loss from international trade in coal.
2. Does China import or export shoes? Who, in China, gains and who loses from international trade in shoes? Does China gain from this trade in shoes? On a graph of the market for shoes in China, show the gains, losses, and net gain or loss from international trade in shoes.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.