Author: Adden wafa

A. increased
B. Decreased
C. Not changed
D. Any of the above

A. Absolute advantage determines the distribution of the gains from trade
B. Comparative advantage determines the distribution of the gains from trade
C. The division of labor is limited by the size of the world market
D. A country exports goods for which its resource endowments are most suited

A. Theory of factor endowments
B. Theory of overlapping demands
C. Economies of scale theory
D. Product life cycle theory

A. Adam Smith
B. David Ricardo
C. John Stuart Mill
D. Eli Heckscher and Bertil Ohlin

A. high transportation costs as a proportion of product value
B. different growing seasons of the year for agricultural products
C. product differentiation for good such as automobiles
D. high per capita incomes in exporting countries

A. is less than the cost of transporting it between them
B. is greater than the cost of transporting it between them equals the cost of transporting it between them
C. equals the cost of transporting it between them
D. more information in needed to answer this

XA. wages and rents should fall in Country A
B. wages and rents should rise in Country A
C. wages should rise and rents should fall in Country A
D. wages should fall and rents should raise in Country A

A. Adam smith
B. David Ricardo
C. Wassily Leontief
D. Eli Heckscher and Bertil Ohlin

A. evidence against the Ricardi an model
B. evidence against the Heckscher-Ohl in model
C. support for the Ricardian model
D. support for the Heckcher Ohlin model

A. technologically efficient relative to the rest of the world
B. capital abundant relative to the rest of the world
C. labor abundant relative to the rest of the world
D. All of the above