According to Hecksher and Ohlin basic cause of international trade is:

Related MCQs

• In international-trade equilibrium in the Heckscher-Ohlin model,
• If relatively capital-abundant country A opens trade with relatively labor- abundant country B an the trade takes place in accordance with the Heckscher-Ohlin Theorem. What would be the consequence for factor prices (w/r) in the two countries?
• According to the Heckscher - Ohlin model, if the United States is richly endowed in human capital relative to Mexico, then as NAFTA increasingly leads to more bilateral free trade between the two countries,
• The trade model of the Swedish economists Heckscher and Ohlin maintains that:
• The Heckscher-Ohlin model rules out the classical model’s basis for trade by assuming that________ is (are) identical between 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
• International trade and domestic trade differ because of:
• According to the factor endowment model of Heckscher and Ohlin, countries heavil y endowed with land will:
• international trade refers to trade between
• Most international trade today is classified as trade in