Economic Question

3. From your answer in the previous question what is the opportunity cost of burgers for the United States i.e. how many burgers must the United States give up to produce one phone? What would be an agreeable terms of trade for 1 phone? 4. At the end of the video a supply and demand graph of the phone market for both countries was shown. Explain why Mexico exported phones to the United States. 5. Suppose the world price for phones is $10000. Further the US has a quantity demand at that price of 1000 phones and a quantity supplied of 200. How many phones will the US import to satisfy domestic demand? 6. From the previous question suppose the US imposes a $2000 tariff on each phones. Further suppose that domestic quantity demand falls by 200 and domestic quantity supplied rises by 200. What is the new quantity of imports? How does a tariff harm societal welfare? Explain how the United States being a large economy with an abundance of natural resources labor and capital can benefit by not being in autarky. It was shown in the video that the United States had the comparative advantage in burgers. Using the table below show and explain how Mexico has the comparative advantage in phones. Explain how the United States being a large economy with an abundance of natural resources labor and capital can benefit by not being in autarky.It was shown in the video that the United States had the comparative advantage in burgers. Using the table below show and explain how Mexico has the comparative advantage in phones.