1. For the Home country draw a graph with the quantity of the two goods on...

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1. For the Home country draw a graph with the quantity of the two goods on the two axes and explain why at the consumption point the marginal rate of substitution (MRS) must be equal to the autarky relative price. What is the meaning of autarky relative price since there is no exchange allowed with other countries? The autarky prices are in fact determined by two factors: list these two factors? Find the autarky price country. p in the Home 1. For the Home country draw a graph with the quantity of the two goods on the two axes and explain why at the consumption point the marginal rate of substitution (MRS) must be equal to the autarky relative price. What is the meaning of autarky relative price since there is no exchange allowed with other countries? The autarky prices are in fact determined by two factors: list these two factors? Find the autarky price country. p in the Home

Answer rating: 100% (QA)

Autarky Price Consumption Point and MRS Graph Imagine a graph with the quantity of Good X on the Xaxis and the quantity of Good Y on the Yaxis This gr... View the full answer