In What Way Does the Specific-Factors Model Add to the Conclusions

Multiple Choice

In what way does the specific-factors model add to the conclusions of the Ricardian model?

A) In the Ricardian model, only labor is better off with free trade. In the specific-factors model, all resources (labor, land, and capital) are better off with free trade.
B) In the Ricardian model, a country is better off with free trade. In the specific-factors model, some of a country's resources will be worse off with free trade.
C) In the Ricardian model, some of a country's resources will be worse off with free trade. In the specific-factors model, some of a country's resources will be better off with free trade.
D) In the Ricardian model, labor will be worse off with free trade. In the specific-factors model, labor will be better off with free trade.