According to the Heckscher - Ohlin model, OA. a country gains from trade if its exports have a high value added. OB. only the country with the more advanced technology gains from trade. OC. everyone gains from trade. OD. the scarce factor gains from trade and the abundant factor loses. OE. the gainers from trade could compensate the losers and still retain gains.

According to the Heckscher - Ohlin model, OA. a country gains from trade if its exports have a high value added. OB. only the country with the more advanced technology gains from trade. OC. everyone gains from trade. OD. the scarce factor gains from trade and the abundant factor loses. OE. the gainers from trade could compensate the losers and still retain gains.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

In the Heckscher-Ohlin model the factor that a country is abundant in will gain from trade, i.e. its income will increase. True False
!NO NEED FOR EXPLANATIONS! Answer the questions 6,7,8... Thank you.
Q32 A country that engages in no foreign trade is said to be in a situation of... a. Reciprocal absolute advantage. b. Absolute advantage. c. Comparative advantage. d. Economic empowerment. e. Autarky. Clear my choice
Choose four countries. One country in North America, another country in Central America, another country in the Caribbean and another country in South America and indicate, using the gravity model, which factors should increase or reduce trade between those countries. After that, choose a country in Europe and indicate, using the Gravity Model, how the intensity of trade changes with five countries. You must take into account the concept of the gravity model and the factors that affect trade such as language, culture, trade agreements, among others. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Home has 12,000 units of labor available. It can produce two goods, apples and bananas. The unit labor requirement in apple production is 100, while in banana production is 75. There is now also another country, Foreign, with a labor force of 18,000. Foreign’s unit labor requirement in apple production is 120, while in banana production is 150. Graph Foreign’s PPF. Construct the world relative supply curve of banana. What will happen if ? Graph the relative demand curve along with the relative supply curve of banana. Assume: Demand for apples/ demand for bananas =half of price of bananas/ price of apples What is the equilibrium relative price of banana?
Assume that the US can produce corn at a lower opportunity cost than South Korea and South Korea can produce cars at a lower opportunity cost than the US. Which of the following is not true? a. south korea should specialize production in cars b. both countries have a comparative advantage c. the us should specialize production in corn d. the us has an absolute advantage in production of corn and cars
Note: The answer should be typed.
Question 1 a. Explain how comparative advantage and opportunity cost affect trade. b. In your opinion, state if you believe whether or not a country can have a comparative advantage in all goods.
According to the theory of comparative advantage, a country exports goods when it can produce those goods countries. Select one: OA. at a higher opportunity cost OB. using more resources OC. at a lower opportunity cost OD. using fewer resources than other
Which of the following statements is TRUE? Output per Day of Work Food Clothing Country A 6. 3 Country B 1 Country A has an absolute advantage in making clothing. Country B has an absolute advantage in making food. Country B has a comparative advantage in making food. Country A has a comparative advantage in making clothing. O Country A will import the item in which it has a comparative advantage.
Here is what Sweden and Canada can produce: Country Tons of Food Tons of Metal Sweden 40,000 XXXXX Canada XXXXX 1,000 Sweden has a comparative advantage in metal The price of metal will be between 10 and 20 food, if these countries trade. How much metal can Sweden produce? If you think the answer is 17,000, then write 17000, not 17,000.
2. Answer letter c and D.