Suppose that country A is capital abundant. It can produce two goods, X and Y. Good Y is labor intensive relative to good X. Derive A’s PPF and determine the pretrade relative price of Y in terms of X. Now, suppose that there is technological innovation that makes labor more productive in the Y industry, but not in making X. In a separate diagram, illustrate what would happen to A’s PPF and explain your result. Show as well what would happen to the pretrade relative price of Y in A. How might this affect A’s trade patterns? Explain.