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Problem 2 (40 points) Suppose the US and Japan have the following production possibility tables (final output combinations):
a. Draw each country’s production possibility curve.b. In what good does the United States have a comparative advantage? What about Japan?c. Is there a possible trade that benefits both countries? If there are several such possible situations, please discuss ONLY one.d. Please demonstrate your answer to point c above graphically (be sure to properly label your graph).
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