Answer :
Final answer:
Poland can gain from specialization and trade with Wales if it receives more than 6 pairs of boots for each bushel of wheat it exports, thereby ensuring an increase in its consumption of both goods compared to its pre-trade situation. Thus option a is correct.
Explanation:
The student's question is about the conditions under which Poland can gain from specialization and trade in relation to the exchange of wheat and boots with Wales. The correct answer must consider the amount of goods received in the trade to ensure a beneficial outcome for Poland beyond its pre-trade production capacity.
Gains from trade occur when a country specializes in producing goods where it has a comparative advantage and then trades to obtain goods it does not specialize in, hence increasing overall consumption of both goods compared to pre-trade levels.
Using the examples provided in the question, we're looking for a scenario where Poland, by specializing in one product, is able to trade and receive in return an amount that allows it to consume more of both goods than it did before specializing and trading. As such, the answer would be: A) 6 pairs of boots for each bushel of wheat.
This means that Poland should specialize in the production of wheat and trade it in such a way that for every bushel of wheat it exports, it receives more than 6 pairs of boots in return. By doing so, Poland would ensure that it has more of both goods post-trade compared to pre-specialization and trade circumstances.