Assignment- 1 (15 Marks)
| Assumptions for India | Assumptions for China |
| 600 units of resources available | 1. 600 units of resources available |
| 10 units to produce a ton of Tea | 2. 20 units to produce a ton of Tea |
| 15 units to produce a ton of Cotton | 3. 8 units to produce a ton of Cotton |
| Uses half of the total resources per product when there is no international trade | 4.Uses half of the total resources per product when there is no international trade |
Q1. Calculate production possibilities for both the countries when there is no international business.
Q2. Calculate production possibilities when there is international business available by using Absolute Cost Advantage Theory.
Q3. Draw a diagram and show production quantities for both the Q1 & Q2 situations.
Assignment- 2 (15 Marks)
| Assumptions for India | Assumptions for Bangladesh |
| 1000 units of resources available | 1. 1000 units of resources available |
| 20 units to produce a ton of Sugar | 2. 30 units to produce a ton of Sugar |
| 25 units to produce a ton of Rice | 3. 30 units to produce a ton of Rice |
| Uses half of the total resources per product when there is no international trade | 4.Uses half of the total resources per product when there is no international trade |
Q1. Calculate production possibilities for both the countries when there is no international business.
Q2. Calculate production possibilities when there is international business available by using Comparative Cost Advantage theory and show with a diagram.
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