Country A has 27,000 units of labor and can produce 2 goods, manufactures, and food. A's producers take 3 units of labor to produce one unit of manufactures and 9 units to produce one unit of food. Country B has 75000 units of labor and takes 6 units of labor to produce one unit of manufactures and 3 units to produce one unit of food. What is the price of manufacturers in terms of food at which A and B would respectively supply manufacturers? What would B export in Adam Smith's world? What is the amount it could supply?

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The price of manufactures in terms of food at which country A would supply manufactures is 39 and th... View the full answer