Multiple Choice
Starting from an autarky (no- trade) situation with Heckscher- Ohlin model,if Country H is relatively labor abundant,then once trade begins
A) wages should rise and rents should fall in H.
B) rent will be unchanged but wages will rise in H.
C) wages and rents should rise in H.
D) wages should fall and rents should rise in H.
E) wages and rents should fall in H.
Correct Answer:

Verified
Correct Answer:
Verified
Q23: If Gambinia has many workers but very
Q24: According to the Heckscher- Ohlin model,the source
Q25: Empirical support for the Heckscher- Ohlin model
Q26: One way in which the Heckscher- Ohlin
Q27: Suppose that there are two factors,capital and
Q29: Which of the following is an assertion
Q30: The Leontief Paradox<br>A)refers to the fact that
Q31: If Australia has relatively more land per
Q32: Which of the following is an assertion
Q33: In the 2- factor,2- good Heckscher- Ohlin