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anastassius [24]
3 years ago
6

The time that an employee spends on a particular job determines his or her specialization of labor.

Business
1 answer:
zmey [24]3 years ago
3 0

Answer:

MAde up of employes in an industry

Explanation:

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Suppose that France and Austria both produce jeans and stained glass. France's opportunity cost of producing a pane of stained g
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By comparing the opportunity cost of producing stained glass in the two countries, you can tell that <u>FRANCE</u> has a comparative advantage in the production of stained glass and <u>AUSTRIA</u> has a comparative advantage in the production of jeans.

France can gain from specialization and trade as long as it receives more than <u>3</u> of jeans for each pane of stained glass it exports to Austria. Similarly, Austria can gain from trade as long as it receives more than <u>1/11</u> of stained glass for each pair of jeans it exports to France.

Based on your answer to the last question, which of the following prices of trade (that is, price of stained glass in terms of jeans) would allow both Austria and France to gain from trade?

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The price range that allows both countries to gain from trade is more than 3 but less than 11 pairs of jeans per pane of stained glass.

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