This preview shows page 1. Sign up to view the full content.
Unformatted text preview: : Brazil: I lb of COFFEE = 300/9000 = 0.033 lbs of tea : (exporter / seller) China: I lb of COFFEE = 200/5000 = 0.040 lbs of tea : (importer / buyer) 3. Which country (Brazil or China) should be a net exporter of Tea? CHINA 4. Indicate if the following terms of trade are acceptable (A) or unacceptable (U) to Brazil and China Brazil China 1 pound of Tea = 32 pounds of Coffee U A 1 pound of Coffee = 0.035 pounds of Tea A A 1 pound of Coffee = 0.065 pounds of Tea A U 1 pound of Tea = 20 pounds of Coffee A U...
View Full Document
- Spring '08