Following are data for soybean yield, production, and trade for 2010-2011:

Suppose that the countries listed in the table are engaged in free trade and that soybean production is land-intensive. Answer the following:
a. In which countries does land benefit from free trade in soybeans? Explain.
b. In which countries does land lose from free trade in soybeans? Explain.
c. In which countries does the move to free trade in soybeans have little or no effect on the land rental? Explain.

Transcribed Image Text:

Production (100,000 metric ton) Export (100,000 metric ton) Import (100,000 metric ton) Australia Brazil Canada China France Japan Mexico Russian Federation United States Yield (metric ton/hectare) 1.71 3.12 2.75 1.89 2.95 1.60 1.32 1.48 2.79 0.29 0.025 0.007 258 42.5 144 2.42 570 27.8 1.64 0.24 0.0006 0.001 0.008 5.42 34.6 37.7 10.7 1.23 2.19 17.6 831 423 4.45