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Scenario 20.2 Suppose Labor Productivity Differences Are the Only Determinants of Comparative

question 19

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Scenario 20.2
Suppose labor productivity differences are the only determinants of comparative advantage, and both Egypt and Ghana produce only corn and cocoa. In Egypt, 10 bushels of corn or 15 pounds of cocoa can be produced in a day. In Ghana, one day of labor can be used to produce either 2 bushels of corn or 8 pounds of cocoa.
-Based on Scenario 20.2, which of the following terms of trade would benefit both countries?


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