In international-trade equilibrium in the Heckscher-Ohlin model,

Related MCQs

• The Heckscher-Ohlin model differs from the Ricardian model of Comparative Advantage in that the former
• The Heckscher-Ohlin model rules out the classical model’s basis for trade by assuming that________ is (are) identical between countries.
• One way in which the Heckscher-Ohlin model differs from the Ricardo model of comparative advantage is by assuming that __________ is (are) identical in all countries.
• As opposed to the Ricardian model of comparative advantage, the assumption of diminishing returns in the Heckscher-Ohlin model means that the probability is greater that with trade
• If the exchange rate is above the equilibrium level then in a floating exchange rate system:
• If the exchange rate is below the equilibrium level then in a floating exchange rate system:
• Starting at the point of equilibrium between the money supply and the money demand, an increase in the domestic money supply causes the value of the home currency to:
• “Free trade between two countries in H O model will equalize relative factor prices provided there is incomplete specialization.” This is
• According to HO Model, India should import ______ abundant goods
• By adjusting the model of comparative advantage to include transportation costs along with production costs, we would expect