Multiple Choice
The factor-proportions theory identifies the source of comparative advantage as:
A) differences in relative factor endowments between countries.
B) similarities in tastes.
C) identical production methods.
D) similar factor endowments.
E) differences in tastes.
Correct Answer:

Verified
Correct Answer:
Verified
Q81: if labor moves from India to the
Q82: A country will tend to have a
Q83: The capital-to-labor ratio is only important in
Q84: A country will have relatively lower costs
Q85: Assume that the U.S. is labor abundant
Q87: International trade causes the price paid to
Q88: International trade tends to lower the amount
Q89: Leontief's factor-proportions study found that U.S.:<br>A) imports
Q90: Which theory explains how international trade affects
Q91: There is no tendency for international trade