Heckscher-Ohlin ModelChile and the United States use capital and labor to produce wheat andautomobiles. Wheat production is more labor intensive than automobileproduction. Chile has 200 units of capital and 50 units of labor and UnitedStates has 1500 units of capital and 275 units of labor.has more capital andhas more labor.is relatively capital abundant.relatively labor abundant.will export wheat andwill export automobiles.✓ [Select]United StatesChile2. [Select][Select]3. [Select][Select]4. In Chile, the production of [Select]under trade.5. In United States, the price of automobiles[Select]under trade.6. Chilean workers would [Select]trade.7. U.S. workers would [Select]decreasesU.S.-Chile freeU.S.-Chile free trade.

This concept refers to the distribution of factors of production (capital and labor) in different…

Chile and the United States use capital and labor to produce wheat and automobiles. Wheat production is more labor intensive than automobile production. Chile has 200 units of capital and 50 units of labor and United States has 1500 units of capital and 275 units of labor. has more capital and has more labor. is relatively capital abundant. is relatively labor abundant. will export wheat and will export automobiles. [Select] United States Chile 2. [Select] [Select] 3. [Select] [Select] 4. In Chile, the production of [Select] under trade. 5. In United States, the price of automobiles [Select] under trade. decreases

Chile and the United States use capital and labor to produce wheat and automobiles. Wheat production is more labor intensive than automobile production. Chile has 200 units of capital and 50 units of labor and United States has 1500 units of capital and 275 units of labor. has more capital and has more labor. is relatively capital abundant. is relatively labor abundant. will export wheat and will export automobiles. [Select] United States Chile 2. [Select] [Select] 3. [Select] [Select] 4. In Chile, the production of [Select] under trade. 5. In United States, the price of automobiles [Select] under trade. decreases

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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