Suppose that there is a country like Jordan and another like Egypt as each country has 100
Question:
Suppose that there is a country like Jordan and another like Egypt as each country has 100 hours of work. And each country produces and consumes two commodities, namely food and clothing only. After reviewing the following table regarding production combinations for the two commodities in
each country, answer the questions that follow.
The amount of clothes amount of food
Jordan 1000 200
Egypt 800 1500
**Required**
1.Draw the production potential curve for both countries.
2.Which country has an absolute advantage in food production?
3.Which country has an absolute advantage in the production of clothing?
4.What do you advise each of the two countries in relation to production, international trade exchange?