If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 6 units of software and 6 units of hardware then trade can make ________.

If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 6 units of software and 6 units of hardware then trade can make both better off, because china has a comparative advantage in hardware and the US has a comparative advantage in software.

China will give up less software time or resources to produce hardware compared to U.S. while U.S. will give up less hardware time and resources to produce software. Both countries will benefit if they engage in trade, china should focus on the production of hardware while the U.S. should focus on the production of software. Trade in these product will benefit bith nations.