The following data outline production choices (A or B) in two nations, Gamma and Sigma. Each nation has a workforce of 10. $\begin{array}{|l|c|c|l|l|c|c|} \hline{\text { Output per worker in Gamma }} & &&&{\text { Output per worker in Sigma }} \\ \hline & \mathrm{A} & \mathrm{B} & & & \mathrm{A} & \mathrm{B} \\ \hline \text { Tea } & 120 & 0 & & \text { Tea } & 40 & 0 \\ \hline \text { Pots } & 0 & 120 & & \text { Pots } & 0 & 120 \\ \hline \end{array}$ -Assume that before specialization and trade,each nation devoted half of its workforce to each product.If these two nations fully specialize in accordance with comparative advantage,the total gains from specialization would be:

A) 200 units of tea and 200 pots B) 400 pots C) 400 units of tea D) 400 units of tea and 400 pots E) 600 units of tea and 600 pots A) 200 units of tea and 200 pots B) 400 pots C) 400 units of tea D) 400 units of tea and 400 pots E) 600 units of tea and 600 pots C

The following are domestic supply and demand schedules for a product. Suppose that the world price of the product is $1. $\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Quantity } \\ \text { supplied } \\ \text { (domestic) } \end{array} & \text { Price } & \begin{array} { c } \text { Quantity } \\ \text { demanded } \\ \text { (domestic) } \end{array} \\ \hline 12 & \$ 5 & 2 \\ \hline 10 & 4 & 4 \\ \hline 7 & 3 & 7 \\ \hline 4 & 2 & 11 \\ \hline 1 & 1 & 16 \\ \hline \end{array}$ -Given the $1 per unit tariff,the quantities sold by foreign and domestic producers,respectively:

A) are 15 units and 1 unit B) are 7 units and 4 units C) are 11 units and 4 units D) are 1 unit and 15 units E) are 4 units and 7 units A) are 15 units and 1 unit B) are 7 units and 4 units C) are 11 units and 4 units D) are 1 unit and 15 units E) are 4 units and 7 units B

The following data outline production choices (A or B) in two nations, Latalia and Trombonia. Latalia has a workforce of 14 and Trombonia has a workforce of 10. $\begin{array} { | l | c | c | l | c | c | c | } \hline { \text { Output per worker in Latalia } } & &&& { \text { Output per worker in Trombonia } } \\ \hline & \text { A } & \text { B } & & & \text { A } & \text { B } \\ \hline \text { Pork (tons) } & 4 & 0 & & \text { Pork (tons) } & 8 & 0 \\ \hline \text { Beans (tons) } & 0 & 20 & & \text { Beans (tons) } & 0 & 24 \\ \hline \end{array}$ -In Latalia,the opportunity cost of 1 ton of pork is:

A) 3 tons of beans B) 1/4 of a ton of beans C) 4 tons of beans D) 1/5 of a ton of beans E) 5 tons of beans A) 3 tons of beans B) 1/4 of a ton of beans C) 4 tons of beans D) 1/5 of a ton of beans E) 5 tons of beans

The following are domestic supply and demand schedules for a product. Suppose that the world price of the product is $1. $\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Quantity } \\ \text { supplied } \\ \text { (domestic) } \end{array} & \text { Price } & \begin{array} { c } \text { Quantity } \\ \text { demanded } \\ \text { (domestic) } \end{array} \\ \hline 12 & \$ 5 & 2 \\ \hline 10 & 4 & 4 \\ \hline 7 & 3 & 7 \\ \hline 4 & 2 & 11 \\ \hline 1 & 1 & 16 \\ \hline \end{array}$ -If this nation were entirely closed to international trade,the equilibrium price and quantity would be:

A) $5 and 2 units B) $1 and 1 unit C) $4 and 4 units D) $3 and 7 units E) $2 and 11 units A) $5 and 2 units B) $1 and 1 unit C) $4 and 4 units D) $3 and 7 units E) $2 and 11 units