16-2
How the United States and Mexico Gain from Trade
| In Autarky | With Trade | |||||
|---|---|---|---|---|---|---|
| Production | Consumption | Production | Consumption | Gains from trade | ||
| United States | Bundles of auto parts | 500 | 500 | 0 | 750 | +250 |
| Airplanes | 1,000 | 1,000 | 2,000 | 1,250 | +250 | |
| Mexico | Bundles of auto parts | 1,000 | 1,000 | 2,000 | 1,250 | +250 |
| Airplanes | 500 | 500 | 0 | 750 | +250 | |