Home is the labor-abundant country. From these few facts, it can be asserted that before trade Part 2 A. in Home, workers earn less, land earns more, and the relative price of coal is lower than in Foreign. Your answer is correct.B. in Foreign, workers earn less, land earns more, and the relative price of coal is lower than in Home. C. in Home, workers earn more, land earns less, and the relative price of coal is higher than in Foreign. D. in Home, workers earn less, land earns more, and the relative price of coal is higher than in Foreign. Part 3 According to the model, the establishment of trade between Home and Foreign will ultimately bring A. an equalization of the relative prices of goods but a continued difference in factor prices. B. an equalization of factor prices but a continued difference in the relative prices of goods. C. an equalization of both the relative prices of goods and factor prices. D. continued differences in both the relative prices of goods and factor prices.