Kathy and Jenn can gain from trade despite Kathy's Absolute Advantage     All that is required for Kathy and Jenn to enjoy gains from trade is to find a trading ratio that is better than their opportunity costs. Trade at the rate of 1.5 images per page fits this requirement.

    Suppose Kathy offers 20 pages to Jenn, leaving Kathy with 40 pages. Jenn must produce 30 images for Kathy, leaving Jenn with 20 images. After trade Jenn has reached the point labeled Jenn-Trade (20P, 20I), which is well above her no-trade PPF and Kathy has reached the point labeled Kathy-Trade (40P, 30I), above her no-trade PPF. Both have realized gains from trade despite the fact that Kathy has an absolute advantage in both page and image production.

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