Most economists would agree that "saving jobs" is a valid reason for restricting trade

Refer to Figure 2-11. If the two countries have the same amount of resources and the same technological knowledge, which country has an absolute advantage in the production of cotton?

A) They have the same advantage. B) Pakistan C) Indonesia D) cannot be determined

Show that the following preferences are not consistent for a rational individual

i. An individual when confronted with prices of p1 = $4 and p2 = $8 chooses q1 = 1 and q2 = 5. ii. The same individual facing prices of p1 = $6 and p2 = $9 chooses q1 = 5 and q2 = 3.