Answer the Next Three Questions on the Basis of the Following

question 34

Essay

Answer the next three questions on the basis of the following production possibilities data for Narnia and Somosa.All figures are in thousands of units. (a) If trade occurs between Narnia and Somosa, which nation should export what product? Why?(b) What are the limits of the terms of trade between Narnia and Somosa?(c) Assume that prior to specialization and trade, Narnia and Somosa chose production possibility "C." Now each specializes according to comparative advantage.What will be the resulting gains from trade? Explain your answer.

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Definitions:

Consciousness

Consciousness is the state of being awake and aware of one's surroundings, thoughts, feelings, and experiences.

Continuous Stream

The ongoing, uninterrupted flow of data or information in real-time.

Perceptions

The method individuals use to structure and understand their sensory observations, attributing significance to the world around them.

Physical Sensations

Experiences that originate from bodily feelings or perceptions, such as touch, temperature, pain, or movement.