Figure 9-3.The domestic country is China.
-Refer to Figure 9-3.With trade,China will

Question

Figure 9-3.The domestic country is China. 
-Refer to Figure 9-3.With trade,China will

Quizplus · Accepted Answer

According to the figure, the domestic price of pencil sharpeners in China is above the world price. Therefore, China has a comparative advantage in producing pencil sharpeners and will export them. The quantity of exports will be the difference between the domestic quantity supplied and the domestic quantity demanded at the world price, which is 250.

Figure 9-3.The Domestic Country Is China