In the specific-factors model, assume that the price of agricultural goods decreases while the price of manufactured goods is unchanged (∆PA/PA, 0 and ∆PM/PM 5 0). Arrange the following terms in ascending order:
∆RT/RT ∆RK/RK ∆PA/PA ∆PM/PM ∆W/W
Try starting with a diagram such as Figure 3-5 but change the price of agricultural goods instead.