In the Heckscher-Ohlin Model, When Two Countries Begin to Trade

Multiple Choice

In the Heckscher-Ohlin model, when two countries begin to trade with each other

A) the relative prices of traded goods in the two countries converge.
B) relative factor prices in the two countries diverge.
C) benefits from trade are evenly distributed between the two countries.
D) all factors in both countries will gain from trade.
E) all factors in one country will gain, but there may be no gains in the other country.