Consider an economy described by a specific factors model with an Agricultural and a Manufacturing Sector. The country is open to trade. All else equal, which of the following would be consequences of a sudden accumulation of specific capital in the manufacturing sector? a. The real wage of workers measured in terms of manufactures will fall as capital replaces workers in that sector.
b. The real wage in the economy will increase, measured in terms of either good.
с. The number of workers employed in manufacturing will increase.
d. The real return to land specific to the agricultural sector will fall.

Jamie is saving for a trip to europe. she has an existing savings account that earns 3 percent annual interest and has a current balance of $4,200. jamie doesn’t want to use her current savings for vacation, so she decides to borrow the $1,600 she needs for travel expenses. she will repay the loan in exactly one year. the annual interest rate is 6 percent. a. if jamie were to withdraw the $1,600 from her savings account to finance the trip, how much interest would she forgo? .b. if jamie borrows the $1,600 how much will she pay in interest? c. how much does the trip cost her if she borrows rather than dip into her savings?