In the 2x2x2 Heckscher-Ohlin Analysis, If an Relatively Labor-Abundant Country

Multiple Choice

In the 2x2x2 Heckscher-Ohlin analysis, if an relatively labor-abundant country is opened To trade, then, as the movement to trade takes place, the capital/labor ratio used in the Country's export industry will __________ and the capital/labor ratio used in the Country's import-competing industry __________.

A) increase; will decrease
B) increase; also will increase
C) decrease; also will decrease
D) decrease; will increase