Which of the Following Is an Assertion of the Heckscher-

Multiple Choice

Which of the following is an assertion of the Heckscher- Ohlin model?

A) The wage- rental ratio is determined by relative product prices.
B) Factor price equalization will occur only if there is costless mobility of all factors across borders.
C) Factor endowments determine the technology that is available to a country,which determines the good in which the country will have a comparative advantage.
D) In the long run,labor is mobile and capital is not.
E) An increase in a country's labor supply will increase production of both the capital- intensive and the labor- intensive good.