1.) Draw graphs representing autarky for two countries, China
and Japan, producing two goods, automobiles (A) and smart TVs (S),
where both countries are using capital (K) and labor (L) to produce
both goods with identical technologies. Suppose smart TV production
is relatively labor-intensive and autoproduction is relatively
capital-intensive, and China has a relative abundance of labor and
Japan has a relative abundance of capital. Show the autarkic
equilibrium for each country. Specify who has the lower and higher
price-ratios...