International Economics: The Ricardian Model of Trade: Part 5 - A Numerical Example

In this video, I work through a numerical example of a Ricardian trade problem.

[@onelovebono]

At 26:48 when you calculate farmer and rancher’s wage, shouldn’t is be wage times 1/al = 2x 1/(1/4)= 8 and not 1/2
Likewise for ranchers wage = w x 1/(1/3)= 6x3 = 18

[@filippoloreto]

I agree, I think you're right

[@magnuslp5678]

You are right.