Which of the Following Is an Assertion of the Heckscher-Ohlin

Multiple Choice

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

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