need solutions with work shown please, thank you.

1 Consider a small open economy that produces two goods agriculture and manufacture - using three factors: labour, capital, and land. Manufacturing goods are produced using a mix of labour (L) and capital (K) with technology QM=FM(L,K). Agricultural goods are produced using labour and land (T) using technology QA=FA(L,T). The supply of each factor is fixed (at L,K, and T~, respectively); all markets are perfectly competitive; and output prices (PM and PA) are taken as given in world markets. a Illustrate the equilibrium wage rate and the distribution of labour across industries in a clearly labelled graph in (L, W)space. Clearly state the assumptions you are making. (5 points) b The government is considering an innovation policy that would improve productivity in the manufacturing sector. Evaluate the impacts of the proposed policy on nominal wages and on the distribution of labour across industries. Illustrate the impact of the policy in your graph from part (a) and comment on your results. (10 points) 1 Consider a small open economy that produces two goods agriculture and manufacture - using three factors: labour, capital, and land. Manufacturing goods are produced using a mix of labour (L) and capital (K) with technology QM=FM(L,K). Agricultural goods are produced using labour and land (T) using technology QA=FA(L,T). The supply of each factor is fixed (at L,K, and T~, respectively); all markets are perfectly competitive; and output prices (PM and PA) are taken as given in world markets. a Illustrate the equilibrium wage rate and the distribution of labour across industries in a clearly labelled graph in (L, W)space. Clearly state the assumptions you are making. (5 points) b The government is considering an innovation policy that would improve productivity in the manufacturing sector. Evaluate the impacts of the proposed policy on nominal wages and on the distribution of labour across industries. Illustrate the impact of the policy in your graph from part (a) and comment on your results. (10 points)