rdoftheirU. S. counterparts.Р9. Howdoesthefactthatmanygoodsarenon-tradedaffecttheextentofpossiblegainsfromtrade?РActuallythegainsfromtradedependedontheproportionofnon-tradedgoods. Thegainswi11increas eastheproportionofnon-tradedgoodsdecrease.Р10 ・ Wehavefocusedonthecaseoftradeinvolvingonlytwocountries. Supposethattherearemanyco untriescapableofproducingtwogoods,andthateachcountryhasonlyonefactorofproduction, labor. Whatcouldwesayaboutthepatternofproductionandinthiscase?(Hint:Tryconstructin gtheworldrelativesupplycurve.)РAnycountriestothe1eftoftheintersectionoftherelativedemandandrelativesupplycurvesexpor tthegoodinwhichtheyhaveacomparativeadvantagerelativetoanycountrytotherightofthein tersection. Iftheintersectionoccursinahorizontalportionthenthecountrywiththatprice ratioproducesbothgoods.