The Heckscher-Ohlin Theory Predicts That the Opening of Trade Between

Multiple Choice

The Heckscher-Ohlin theory predicts that the opening of trade between a land-abundant country and a labor-abundant country should result in:

A) higher rents and wages in both countries.
B) lower rents and wages in both countries.
C) higher rents in the labor-abundant country and higher wages in the land-abundant country.
D) higher wages in the labor-abundant country and higher rents in the land-abundant country.