Question: please help me with this question Consider a country which produces only bicycles (B) and wine (W) using capital and labor. Assume that the unit

please help me with this question

please help me with this question Consider a country which produces only

Consider a country which produces only bicycles (B) and wine (W) using capital and labor. Assume that the unit factor requirements are fixed and given as aLB = 2, aww = 4, app = 3, and akw = 3. a. Which industry is labor intensive? b. Suppose that the world price of bicycles is $19 and the world price of wine is $23. Assuming that the country is producing both goods, what are the free trade factor price levels (wages and rental rate of capital) under perfect competition? c. What is the share of revenue going to labor in each industry? d. Use a general PPF analysis to show how a destruction of a part of the capital stock can affect the production of bicycles and wines. Use the corresponding theorem to explain your analysis; what is the name of this theorem and what is the main assumption of that

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